Answer:
The correct answer is letter "A": poison pill.
Explanation:
A Poison Pill is a corporate maneuver established to try to avoid a hostile takeover. This strategy is used by the target corporation to make the stock less attractive to the acquirer. One strategy for a poison pill allows existing shareholders to buy more stock at a discount. This increases the number of shares that the acquirer will have to purchase.
Answer:
The option with the quarterly compounding provides a higher future value.
Explanation:
Giving the following information:
Initial investment= $7,000
Number of years= 4 years
<u>To calculate the future value, we need to use the following formula:</u>
FV= PV*(1+i)^n
<u>Quarterly compounding:</u>
Interest rate (i)= 0.07/4= 0.0175
n= 4*4= 16
FV= 7,000*(1.0175^16)
FV= $9,239.51
<u>Monthly compounding:</u>
i= 0.0685/12= 0.00571
n= 4*12= 48
FV= 7,000*(1.00571^48)
FV= $9,200.07
The option with the quarterly compounding provides a higher future value.
Birthrate is the number of births while deaerate is the number of deaths
Answer: $292,500,000
Explanation:
The following information can be derived from the question:
Issued bond = $300
Issue discount = 0.50%
Coupon rate = 7%.
Fees paid = 2.0%
The net amount of funds that the debt issue will provide for the firm will be:
= Issued bond price - Discount - Fees paid
= $300m - ($300m × 0.50%) - ($300m × 2.0%)
= $300m - $1.5m - $6m
= $300m - $7.5m
= $292.5 Million
