Answer:
a. 8.79%
Explanation:
WACC = Weight of debt * Pretax cost * (1 - Tax) + Weight of Equity * Cost of Equity
Value of Equity = 10,700 * $63 = $674,100
Value of debt = 320 * $1000 * 93.6% = $299,520
Weight of Debt = $299,520/($299,520 + $674,000) = 30.76%
Weight of Equity = $674,000/($299,520 + $674,000) = 69.24%
WACC = 30.76% * 5.89% * (1 - 40%) + 69.24% * 11.13%
WACC = 30.76% * 5.89% * 0.60 + 69.24% * 11.13%
WACC = 0.010870584 + 0.07706412
WACC = 0.087934704
WACC = 8.79%
Answer:
ACME Corporation
Fraud Suspicion of Adam Jones:
1. Pre-admission-seeking Investigation Procedures:
- Review the company's policies and procedures
- Interview those who raised the suspicion to establish reasonable basis
- Interview suppliers and vendors to determine facts
- Decide if investigation was necessary in the light of company policies and preliminary findings
- Plan the interview
2. Adam's initial reaction when confronted:
Adam would be defensive and try to deny the existence of such acts, especially when he is not sure that you have got some evidence against him.
3. Adam might try to cover his track when suspicion alert has been raised to his knowledge. He might contact the vendors and suppliers involved to ensure that they did not disclose any unfavorable information to the investigator. He might also engage in bluffing, that is trying to prove his innocence before the investigation proper.
4. I know this because I have dwelt with such reactions before.
Explanation:
In law, fraud is the deliberate misrepresentation of facts for the purpose of depriving someone of a valuable possession or enriching oneself.
Answer:
being in short supply of something
Answer:
Cost of service to provide one haircut is $ 11.04
Explanation:
Hair saloon expense: $500
Building rent expense: $1,458
Utilities expense: $200
Depreciation expense --- Equipment: $50
Total operating cost = Hair saloon expense + Building rent expense + Utilities expense + Depreciation expense
= $500 + $1,458 + $200 + $50
= $ 2,208
Total hair cuts = 200
Therefore, cost per hair cut = Total operating cost ÷ Total hair cuts
= $2,208 ÷ $200
= $ 11.04
I would budget for D. Budget for the unexpected.