Answer:
The company's WACC is 9.14%
Explanation:
cost of preferred stock
= (dividend on preferred stock)/(current market price)
= [$100*4%]/$72
= 5.56%
total finance = debt + equity + preferred stock
= (8,000*$1,060) + (310,000*$57) + (15,000*$72)
= $8,480,000 + $17,670,000 + $1,080,000
= $27,230,000
weight of debt = debt/total finance
= $8,480,000/$27,230,000
= 0.31
weight on equity = equity/total finace
= $1.080.000/$27,230,000
= 0.04
WACC
= (weight of debt*after tax cost of debt) + (weight on equity*cost of equity)
= (0.31*0.0393) + (0.65-0.1185) + (0.04*0.0556)
= 9.14%
Therefore, The company's WACC is 9.14%
A negotiation is a Discusion aimed at reaching an agreement. B.
Answer: c. preventing a market that would generate mutually beneficial trades.
Explanation:
Zooey could argue that the policy of lunch trades is preventing a market that would generate mutually beneficial trades because if people were allowed to trade what they want for what they have with people who have what the first person wants and wants what the first person has, that can be beneficial to both of them.
It is not unlike the system of batter trading that existed before money where people traded what they had for what they wanted.
One should be very careful here though because there are multiple disadvantages involved such as kids exchanging away more nutritious food and food poisoning.
Answer:
Decrease is taxes
Increase in government spending
Explanation:
Government policies that increases the money supply in an economy is known as expansionary fiscal policy. They are:
1. Decrease is taxes - when government reduces the tax rate, the amount paid as taxes falls and as a result individuals, companies have higher disposable income whuch can be used for consumption or saving. This increases the money supply in the economy.
2. Increase in government spending - if the government increases it's spending on public goods for example, money supply would increase. If the government constructs a road, labour would be employed and paid wages. This payment increases the income of Labour and money supply increases.
Central bank policies that increases money supply are known as expansionary monetary policies. They include:
1. Open market purchase: The central bank purchase securities from the open market to increase money supply.
2. Reduction in reserve requirement ratio : if the reserve requirement ratio is reduced , commercial banks would have more money to give out as loans and this would increase money supply.
The word that comes in the blank space is; "sample".
<span>These customers represent the sample used in the study.</span>
