Answer:
Explanation:
Given:
Current value, C = $60000
Assessed value, A = 30 percent of its current value
= 30% × C
Equalisation factor, E = 1.25
The tax rate is $4 per $100 of assessed valuation.
Assessed value, A = 30/100 × 60000
= $18000
Total assessed valuation = assessed value × E
= $18000 × 1.25
= $22500
Tax rate of $4/$100 × assessed valuation
Tax amount = tax rate × assessed valuation
= ($4 × $22500)/$100
= $900
Answer:
d. 8.2%
Explanation:
The computation of the WACC is shown below:
= Weightage of debt × cost of debt × ( 1- tax rate) + (Weightage of common stock) × (cost of common stock)
where,
Weighted of debt = Debt ÷ total firm
= (0.60 ÷ 1.60)
= 0.375
And, the weighted of common stock = (Common stock ÷ total firm)
= 1 ÷ 1.60
= 0.625
The total firm is
= 0.60 + 1
= 1.60
Now put these values to the above formula
So, the value would equal to
= (0.375 × 8%) × ( 1 - 35%) + (0.625 × 10%)
= 1.95% + 6.25%
= 8.20%
Answer:
Both types of inflation cause an increase in the overall price level within an economy. Demand-pull inflation occurs when aggregate demand for goods and services in an economy rises more rapidly than an economy's productive capacity.
Explanation:
