Answer:
b. 8.82%
Explanation:
WACC = Cost of equity x Weight of equity + Cost of Preferred Stock x Weight of Preferred Stock + Cost of Debt x Weight of Debt
Cost of Preferred Stock calculation :
Cost of Preferred Stock = Expected dividend / Market Price x 100
= $6 / $50 x 100
= 12 %
After tax cost of debt calculation :
After tax cost of debt = Interest x (1 - tax rate)
= 8 % x (1 - 0.35)
= 5.20 %
therefore,
WACC = 15% x 30 % + 12 % x 10 %+ 5.20 % x 60 %
= 8.82 %
Answer:
1. <u>Apple</u>
Current year Days sales uncollected = Account receivables/Net sales * 365
= 15754 / 215639 * 365 = 27 days
= 16849 / 233715 * 365 = 26 days
<u>Google</u>
Current year Days sales uncollected = Account receivables/Net sales * 365
= 14137 / 90272 * 365 = 57 days
Prior years Days sales uncollected = Account receivables/Net sales * 365
= 11556 / 74989 * 365 = 56 days
2. Base on the computation above, Apple had more success collecting receivables.
Formula for the Real GDP:
RGDP = Quantity in the current year x Price of the output in the base year
The base year should be the 1st year:
RGDP 1 = $300,000, P 1 = $15,000
Q 1st = $300,000 : $15,000 = 20 cars
In the 2nd year we also have: Q 2nd = 20,produced at $16,000 each.
The Nominal GDP = 20 x $16,000 = $320,000 ( market value )
But the Real GDP = 20 x $15,000 = $300,000.
Answer: The real GDP in the year 2 is $300,000.
Answer:
correct option C. increase production.
Explanation:
given data
producing = 37 units
marginal cost MC = $3
sell MR = $5
solution
the profit is maximum at MR = MC ..............1
and here MR = $5 and MC = $3
then production should be increased up to the MC = MR = $5
so correct option is C. increase production
Answer:
$259,448
Explanation:
Estimated manufacturing overhead $264,040
Estimated direct labor hours 2,300
predetermined overhead rate = $114.80 per labor hour
Actual manufacturing overhead $258,000
Actual direct labor hours 2,260
actual overhead rate = $114.16
applied overhead for the year = actual direct labor hours x predetermined overhead rate = 2,260 hours x $114.80 = $259,448 overapplied ($259,448 ˃ $258,000)
