Answer: A
Explanation:
The borrower can adjust the monthly payment depending on his or her income.
Answer:
WACC = 0.16637 OR 16.637%
Explanation:
WACC or weighted average cost of capital is the cost of a firm's capital structure which can comprise of debt, preferred stock and common equity. The WACC for a firm with only debt and common equity can be calculated as follows,
WACC = wD * rD * (1-tax rate) + wE * rE
Where,
- w represents the weight of each component based on market value in the capital structure
- r represents the cost of each component
- D and E represents debt and equity respectively
To calculate WACC, we first need to calculate the Market value an cost of equity.
The market value of equity = 30 million shares * $40 per share
MV of equity = $1200 million
The cost of equity can be found using the formula for Price today (P0) under constant growth model of DDM.
P0 = D1 / (r - g)
40 = 4 / (r - 0.07)
40 * (r - 0.07) = 4
40r - 2.8 = 4
40r = 4+2.8
r = 6.8 / 40
r = 0.17 or 17%
MV of debt = 40 million * 96.5% => $38.6 million
Total MV of capital structure = 38.6 + 1200 = 1238.6 million
WACC = 38.6/1238.6 * 0.08 * (1-0.33) + 1200/1238.6 * 0.17
WACC = 0.16637 OR 16.637%
Answer:
The correct answer is C. This claim is most likely based on the right to substantive due process.
Explanation:
Substantive due process is a means by which the government's ability to interfere with the fundamental rights of individuals is limited. In this case, the fundamental right violated is that of freedom of expression, guaranteed by the First Amendment. Thus, since it is a right with constitutional protection, the government cannot curtail its operation without the due legal process necessary for this purpose.
Answer:
The three major macroeconomic goals of an economy should be economic growth, low unemployment/full employment, and low inflation rates. Economic growth occurs when an economy ‘increases its ability to produce goods and services’
Explanation:
Answer:
d. $399.63
Explanation:
Data provided in the given question
Dividend = $12.11
Shares = 132
The calculation of quarterly dividends is shown below:-
Quarterly dividends = Dividend × Shares ÷ Number of quarters in a year
= $12.11 × 132 ÷ 4
= $399.63
Therefore, to compute the quarterly dividends we simply divide shares with number of quarter in a year and multiply with dividend.
