Answer:
average, retirement beneficiaries receive 40% of their pre-retirement income from Social Security. As you make your retirement plan, knowing the approximate amount you will receive in Social Security benefits can help you determine how much other retirement income you'll need to reach your goals.
Explanation:
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Answer and Explanation:
a. The switchover from 200% DB to SL should happen from Year 7.
b. Depreciation for Year 9 is $3,759.84
Since, the trade in is for $15,000, the same should be added to the cost of new assets because the new asset has been reduced by the amount of trade-in. Therefore, the value of new asset should be $50,000 + $15,000 = $65,000.
Answer: Fixed Cost
Explanation: Fixed cost will always be a relevant cost because a business must incur fixed cost during the course of the business.
Fixed cost are cost that are not depended on sales or activity level of the organisation and they are incurred in as much as the business is operational.
Examples of fixed costs are:
Utilities, salaries, rent, depreciation etc.
Fixed costs has a high influence on the profit/ loss of any organisation.
<span>This is an example of a cost of international trade. This can make it so that some domestic businesses lose their market share to foreign companies. This can create less profits for the company and made it so that it is difficult to create jobs.</span>
Answer: True
Explanation:
The Weighted Average Cost of Capital (WACC) calculates the cost of capital to a company for the means of capital it uses to finance operations. It is based on the cost and the weight of the various capital types.
Formula is;
<em>= Cost of Equity * %Equity + Cost of debt * %Debt * ( 1 - Tax rate) + Cost of Preferred Stock * %Preferred stock</em>
The required rate of return on preferred stock is the same as the Cost of Preferred Stock. From the formula it is shown that if this rate increases, holding all else equal, total WACC will increase.