Answer:
10.25%
Explanation:
Data provided in the question:
Long-term debt = 45%, after-tax cost = 7%
Preferred stock = 15%, after-tax cost = 10%
Common stock equity = 40%, after-tax cost = 14%
Now,
The weighted average cost of capital for this firm will be calculated as:
= Long term debt × after-tax cost + Preferred stock × after-tax cost + Common stock equity × after-tax cost
or
= 0.45 × 0.07 + 0.15 × 0.10 + 0.40 × 0.14
or
= 0.0315 + 0.015 + 0.056
= 0.1025
or
= 0.1025 × 100%
= 10.25%
Answer:
please dont post this stuff :)
Explanation:
Answer:
Can u tell us for what tho?
Explanation:
Explanation:
Multiplier shows the effect of a change in investment on income and employment whereas accelerator shows the effects of a change in consumption on investment.
But in other words, in the case of multiplier, consumption is dependent upon investment, but in the case of accelerator investment is dependent upon consumption
No it does not it is a non-alcohol soft drink
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