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Romashka-Z-Leto [24]
2 years ago
14

The common stock of Shaky Building Supply has a beta that is 22 percent greater than the overall market beta. Currently, the mar

ket risk premium is 9.56 percent while the U.S. Treasury bill is yielding 3.3 percent. What is the cost of equity for this firm
Business
1 answer:
Bess [88]2 years ago
5 0

Answer:

11.7%

Explanation:

The common stock of a shaky building has a beta of 22%

The market risk premium is 9.56%

The US treasury bill is 3.3 %

Therefore the cost of equity can be calculated as follows

= 3.3/100 + (1+22/100)(9.56)

= 0.033 + (1+0.22)(9.56)

= 0.033 + 1.22×9.56

= 0.033 + 11.6632

= 11.7%

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Calculate the GDP using the data below (all figures are shown in millions)
Anit [1.1K]

Answer:

$250 million.

Explanation:

To calculate the GDP using the following data (Personal Consumption = $ 50, Government Consumption = $ 20, Business Consumption = $ 80 and Gross Investments = $ 100) the following calculation must be performed:

50 million + 20 million + 80 million + 100 million = X

250 million = X

Therefore, the GDP is $ 250 million.

3 0
2 years ago
Your sister turned 35 today, and she is planning to save $7,000 per year for retirement, with the first deposit to be made one y
Mrac [35]

Answer:

$64,932

Explanation:

Calculate the accumulated sum after 30 years by using below formula:

S = R[(1+i)^n - 1]/i  

Where

S = the accumulated sum

R = the yearly deposit

i = the decimal interest rate per year

n = the total count of deposits

This results in a sum accumulation of $723,796.

Now calculate annual payout for a 25-year old annuity by using below formula:

R = Pi/[1 - (1+i)^(-n)]  

This gives the PMT of $64,932.  

5 0
3 years ago
Read 2 more answers
This is the "T & D method that permits participants to assume roles such as president, controller, or marketing vice-preside
4vir4ik [10]

Options:

A) business games

B) programmed instructions

C) vestibule training

D) conference discussion

Answer: (A) Business Games

Explanation: Training and development is the process through which Organisation equip their staff with the needed and necessary skills to improve their performance. TRAINING CAN BE ACHIEVED THROUGH VARIOUS MEANS WHICH INCLUDES ON-THE-JOB TRAINING, JUST-IN-TIME TRAINING, BUSINESS GAMES etc. All this kinds of training and development are presently being used by businesses.

Business games is attained and development technique through which an employees are made to assume roles like the President,the vice president of Organisations of one or more hypothetical Organisation, and compete against each other by manipulating certain factors in a particular business situation, this is aimed at equiping them with the needed skills and finding the best.

7 0
3 years ago
Thirty-five percent of the world's commercial energy is produced from _______.
Ivanshal [37]
Thirty five percent of the worlds commercial energy is produced by coal
4 0
3 years ago
For June, Gold Corp. estimated sales revenue at $400,000. It pays sales commissionsthat are 4% of sales. The sales manager's sal
bogdanovich [222]

Answer:

The budgeted selling expenses for the month of July is $220,000

Explanation:

The computation of the budgeted selling expenses are shown below:

= Sales commission + sales manager's salary +  shipping expenses +  miscellaneous selling expenses

where,

Sales commission = Sales × commission percentage

                              = $400,000 × 4%

                              = $16,000

Shipping expenses = Sales × expenses percentage

                                = $400,000 × 1%

                                = $4,000

The other expenses amount would remain the same

Now put these values to the above formula  

So, the value would equal to

= $16,000 + $190,000 + $4,000 + $10,000

= $220,000

8 0
3 years ago
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