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Vesnalui [34]
3 years ago
10

Calvin is a college student who has identified the need his fellow students have for transportation to and from a nearby store.

He owns a van that can carry four people in addition to himself; he pays $50 insurance costs per month. He has calculated that his cost of transporting his fellow students will be $2.50 per student per round-trip ride, assuming he has a full van. Given this information, which statement is correct, assuming Calvin has a full van?
Business
1 answer:
xeze [42]3 years ago
4 0

Answer:

Calvin's marginal cost is constant at $2.50; Calvin's average variable cost is constant at $2.50.

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Palencia Paints Corporation has a target capital structure of 35% debt and 65% common equity, with no preferred stock. Its befor
Arturiano [62]

Answer:

Cost of common equity is 15.7%  and WACC is 7.2%

Explanation:

D1 is  

D1= 2.25 (1+0.05)

The cost of common equity is  

Rs = 2.36/ 22.00 + 5% =0.157= 15.7%

The cost of common equity is weighted average cost of capital (WACC)  

WACC = (0.35) * (0.08) (1- 0.40) + 0 preferred stock+ (0.35) * (0.157)

WACC = 0.03 *0.6 + 0 + 0.054

WACC = 0.018 + 0.054

WACC = 7.2%

4 0
3 years ago
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JulsSmile [24]
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4 0
3 years ago
In one or two sentences, describe which is greater: gross pay or net pay.
ArbitrLikvidat [17]

Answer:

Gross pay

Explanation:

Gross pay is before all taxes and deductions. Therefore that value is greater than net pay which is after all taxes and deductions

4 0
3 years ago
You need a 35-year, fixed-rate mortgage to buy a new home for $295,000. Your mortgage bank will lend you the money at an APR of
Anika [276]

Answer:

$434,780.69

Explanation:

The computation of the large the ballon payment would be is determined by using the future value formula i.e. to be shown in the attachment

Provided that

Present value = $295,000

Rate of interest = 5.9% ÷ 12 months  = 0.49166%

NPER = 35 years × 12 months = 420 months

PMT = $1,350

The formula is shown below:

= -FV(Rate;NPER;PMT;-PV;type)

So, after applying the above formula, the future value is $434,780.69

8 0
3 years ago
What is a subcontractor
egoroff_w [7]

Answer:

business or person that carries out work for a company as part of a larger project.

Explanation:

A hun

8 0
2 years ago
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