Answer:
1.625
Explanation:
Debt to equity ratio = Debt ÷ Equity
or
1.75 = Debt ÷ Equity
or
Debt = 1.75 × Equity
also,
Total assets = Debt + Equity
or
$275 million = 1.75 × Equity + Equity
or
$275 million = 2.75 × Equity
or
Equity = $100 million
Therefore,
Debt = $275 million - Equity
= $275 million - $100 million
= $175 million
Now,
after issuance,
Total debt = $175 million + $20 million
= $195 million
and,
Equity = $100 million + $20 million
= $120 million
Therefore,
Southern’s debt-to-equity ratio after the issuance
= $195 million ÷ $120 million
= 1.625
Explanation:
why do you need followers here?
The answer is A.
There is risk involved in owning a stock, and many unknown variables. The value of the stock could plummet, putting your principal investment at risk. There is no guarantee of return on investment, and even well-established companies have had to cut dividends during difficult times.
In the case of bonds, you are guaranteed by the bond issuer that your principal and the agreed-upon interest will be paid at a defined time. Excluding the event of bankruptcy (and still likely in this case), you are virtually guaranteed that the entity will pay you according to the agreed-upon terms. For this reason, bonds are considered a much lower risk investment.
Why then, do many people choose to invest at least part of their portfolio in stocks? Stocks generally have a much high expected return, and many people consider this increased return worth the increased risk that with it.
Answer:
The economic and logical position of a firm in an oligopoly industry can be well understood through <u><em>Concentration Ratios</em></u>, which measure measure the proportion of total market share controlled by number of firms. When there is a high fixation proportion in an industry, financial specialists will in general recognize the business as an Oligopoly.
Explanation:
An oligopoly is a market structure in which a couple of firms overwhelm. At the point when a market is shared between a couple of firms, it is supposed to be exceptionally thought. Although a couple of firms overwhelm, it is conceivable that numerous little firms may likewise work on the lookout. Thinking about the market for air travel, significant air crafts like British Airways (BA) and Air France regularly work their courses with a couple of close contenders, yet there are additionally numerous little carriers providing food for the holidaymaker or offering expert administrations.
Answer:
9.33%
Explanation:
Calculation to determine his annualized real rate of return on this investment
Annualized real rate of return=[($7,000-$5,000/ ($5000*3) *100] -4%
Annualized real rate of return=13.33%-4%
Annualized real rate of return = 9.33%
Therefore his annualized real rate of return on this investment will be 9.33%