Answer:
WACC is 9%
Explanation:
WACC is the average cost of capital of the firm based on the weightage of the debt and weightage of the equity multiplied to their respective costs.
According to WACC formula
WACC = ( Cost of equity x Weightage of equity ) + ( Cost of debt ( 1- t) x Weightage of debt ) + ( Cost of Preferred equity x Weightage of Preferred equity )
As per given data
Market Values
Equity = $7 billion,
Preferred stock = $2 billion
Debt = $13 billion
Cost
Equity
Capital asset pricing model measure the expected return on an asset or investment. it is considered as the cost of common stock.
Formula for CAPM
Cost of Equity = Risk free rate + beta ( market return - risk free rate )
Cost of Equity = Rf + β ( Mrp )
Cost of Equity = 3% + 1.6 ( 8% ) = 15.8%
Preferred stock = $2 / $26 = 0.077 = 7.7%
Debt = 8%
Placing values in the formula
WACC = ( 15.8% x $7 billion / $22 billion ) + ( 8% ( 1- 0.3) x $13 billion / $22 billion ) + ( 7.7% x $2 billion / $22 billion )
WACC = 5.03% + 3.31% + 0.7% = 9.04%
Answer:
The correct answer is option a.
Explanation:
The bureau of labor statistics calculates the data regarding the unemployment rate in the US economy. It calculates the unemployment rate as the ratio of total unemployed to the total labor force.
Those people who are having a job or business and are working for profit or those who are currently unemployed and looking for jobs are included in the labor force. Students, retirees, and discouraged workers are not included in the labor force.
Here, Christopher is neither working for profit nor looking for work so he will not be considered unemployed or in labor force.
Answer:
C. per capita GDP
Explanation:
Per capita income is the average income earned per person in a country during a specified period of time . It is the measure of a country's Gross domestic products against its total population.
Per capita GDP is a measure of a country's economic output that accounts for its number of people. It divides the country's gross domestic product by its total population. it a good measurement of a country's standard of living. It tells you how prosperous a country feels to each of its citizens.
It is calculated by dividing the total GDP of a country by its population
therefore going by the question and the explanation given the best possible answer is C. Per capita GDP
Answer:
D. one who represents an issuing body in effecting transactions that are exempt
Explanation:
An agent, represents a broker-dealer or issuer and do all duties stated in the options A, B, and C.
But, as stated in the Uniform Securities Act of 1956, Part IV. General Provisions, Sec. 401.b, Definition, illustrating the different functions of the people as mentioned in the Act, "an Agent does not include an individual who represents an issuer in effecting transactions in a security exempted."
Answer:
1. FDA and CPSC
2. OSHA and EEOC
Explanation:
I took the test and its right
