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3 years ago

A company's pretax cost of debt:

Business

1 answer:

sertanlavr [38]3 years ago

3 0

Answer:

Explanation:

Firstly, we need to keep in mind when it comes to cost of capital (debt or equity) is that it have to be incremental cost. Use bond yield to maturity rather than other yield to estimate cost of debt.

Let go through each of answer option one by one:

a. is based on the current yield to maturity of the company's outstanding bonds. => include both old bonds and recently-issue bonds => not incremental cost => False

b. is equal to the coupon rate on the latest bonds issued by the company. => Coupon rate is not relevant => Fasle

c. is equivalent to the average current yield on all of a company's outstanding bonds. => Current yield is not relevant => Fasle

d. is based on the original yield to maturity on the latest bonds issued by a company. => Meet all requirement => True

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Your sister has just been told that she will be given a $1,000 bonus next year. She is very eager to know its present value. So,

Stella [2.4K]

Answer:

discounting

hope it helps :0

3 0

3 years ago

A building with an appraisal value of $128,156 is made available at an offer price of $153,050. The purchaser acquires the prope

elena55 [62]

Answer:

$117,201

Explanation:

Calculation for what The cost basis recorded in the buyer's accounting records to recognize this purchase is

Using this formula

Cost basis=Cash+Note payable+Mortgage

Let plug in the formula

Cost basis=$32,829+$26,957+$57,415

Cost basis=$117,201

Therefore The cost basis recorded in the buyer's accounting records to recognize this purchase is $117,201

7 0

3 years ago

A target audience is the group of customers that is singled out to be reached by an advertising campaign or other promotion. T/F

Ivanshal [37]

Answer: True

Explanation: A target audience can be defined as the portion of the total audience on which an advertising campaign is focused. These are the target recipient of the marketing message that the offering entity is intending to send.

This is the modern approach to marketing in which the company after developing its product tries to identify the specific users of it, the users can be identified on the basis of age , gender or any other characteristic.

Hence, from the above we can conclude that answer is true.

8 0

3 years ago

What are some possible reasons Waymo entered an alliance with Lyft? Are there any reasons Waymo would prefer Lyft over Uber as a

cricket20 [7]

Answer:

(1) To gain dominance in the Autonomous driving Technology.

(2) To utilize the vast network of drivers of Lyft to enhance the use of its technology

(3) To strategically place itself to compete favourably with other Autonomous driving Technology firms.

(4) To enhance its performance and profitability.

PART B

Lyft has a better transparent and user friendly application generally people trust their app in terms of pricing and trip duration.

LYFT HAS A BETTER REPUTATION THAN UBER WHICH HAS BEEN INVOLVED IN SERIES OF SCAMS IN 2017.

Explanation:

Waymo is a sister company to Google owned by alphabet inc., It is an autonomous driving Technology company with a state of the art Technology in the self driving cars.

Lyft is an American company which is involved in car lift,car hailing, car sharing etc services in major cities of the United States of America, it has developed a vast network of drivers and routes through out the United States.

The alliance between Waymo and Lyft was mainly to help both entities leverage on the competence of each party for the greater good of Both Companies.

4 0

4 years ago

Purchasing a new cd upon maturity of the current cd is commonly referred to as:

Helen [10]

Purchasing a new CD upon maturity of the current CD is commonly referred to as: rolling over. The term rollover in economics describe the reinvesting funds from a mature security into a new issue of the same or a similar security. In this case the money is reinvested in the buying the same product because the old one is mature,

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3 years ago