Answer: 7.46%
Explanation:
The CAPITAL ASSET PRICING MODEL is a very useful tool for calculating a firm's Cost of Equity.
The Formula is,
Rc = Rrf + b(Rpm)
Where,
Rc is the Cost of Equity
Rpf is the Risk risk free rate
b is beta
Rpm is the risk premium
Plugging in the digits we have,
Rc = 0.0350 + 0.88(0.045)
= 0.0746
The firm's cost of equity from retained earnings based on the CAPM is therefore 7.46%
Answer:
The first company with detailed information.
Explanation:
Financial statements show the financial position of a company at a particular period in time. The various types are balance sheet, income statement, and cash flow statement.
The income statement shows more clearly value of the company.
When Ashton is studying the income statement, he will need as much detail as possible so that he can make informed decision to invest.
The company with detailed income statement will be a better option. The company with condensed income statement will most likely not reveal some important information that will present itself as an unpleasant surprise in the future.
Answer:
Marin Company
Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows is
$345,000
Explanation:
a) Data and Calculations:
Accounts Receivable (Beginning) $88,000
Accounts Receivable (Ending) $77,000
Increase in Cash received from customers = $11,000
b) Income reported on the income statement for the year = $334,000
Increase in Cash received from Customers = 11,000
Cash flows from operating activities to be reported = $345,000
c) The Accounts Receivable reduced from $88,000 to $77,000. This implied that some customers settled their accounts. Therefore, there was inflow of cash from customers. This increases the cash flows from operating activities. This is why the difference is added to the Income as per income statement as a change in working capital.
Answer:
Control unit
Explanation:
Is a part of the "Central Ptocessing Unit (CPU)" of a computar. It is considerado a a "heart of the CPU.
Answer:
Working Capital -2019 =$229300
Working Capital -2018 = $230900
Explanation:
Working capital is the operating capital of the business that is used in the day to day running or the business and is a metric for the liquidity of the business. It is necessary for the operations of the business and is calculated as the difference between the current assets and the current liabilities.
Working Capital = Current Assets - Current Liabilities
Working Capital -2019 = 498600 - 269300 =$229300
Working Capital -2018 = 532400 - 301500 = $230900