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Sati [7]
3 years ago
10

Sommer, Inc., is considering a project that will result in initial after tax cash savings of $2.3mil at the end of the first yea

r, and these savings will grow at a rate of 2% per year indefinitely. The firm has a target debt-equity ratio of 0.6, a cost of equity of 10%, and an after tax cost of debt of 4.6%. The cost-savings proposal is somewhat riskier than the usual project the firm undertakes; management uses a subjective approach and applies an adjustment factor of 3% to the cost of capital for such risky project. Under what circumstances should the company take on the project
Business
1 answer:
alex41 [277]3 years ago
8 0

Answer:

sorry just getting points

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Yuri Co. operates a chain of gift shops. The company maintains a defined contribution pension plan for its employees. The plan r
Sunny_sXe [5.5K]

Answer:

Date                   Account Title                      Debit           Credit

31 Dec.       Pension Expense                      $122,600

                   Unfunded pension liability                           $122,600

                   (To record the quarterly pension cost)

15 Jan.        Unfunded pension liability        $122,600

                   Cash                                                              $122,600

                   (To record the payment of accrued pension liability)

6 0
3 years ago
An add in the newspaper claims that the price of milk will increase next week . At the same time, a new and improved pasteurizat
vaieri [72.5K]

Answer:

Equilibrium quantity will increase; the effect on price is ambiguous.

Explanation:

An add in the newspaper claims that the price of milk will increase next week . At the same time, a new and improved pasteurization process makes milk production more efficient. Given these two effects, we can say about the current equilibrium price and quantity of milk that Equilibrium quantity will increase; the effect on price is ambiguous.

The conclusion that equilibrium quantity will increase is dependent on the fact that expectation on future prices is a major factor that leads to changes in demand

People’s expectations about the future can have a significant impact on demand. Or, more specifically, their expectations of future prices can change demand.

If consumers expect prices to increase shortly, current demand often increases, i.e., the demand curve shifts to the right.

3 0
3 years ago
Pat manages the customer care department of her firm. She is very happy with her team of 15 customer care representatives​ who'v
Serggg [28]

Answer:

Motivation

Explanation:

<em>Motivation in work is when employees are incentivized due to their good performance</em>, this happens when they provide the company a greater value. There are two kinds of motivation:

  • Internal: it includes emotions and thoughts, <em>in the exercise given this internal motivation is letting the team know that they are doing good</em>
  • External: includes salary and work environment, <em>in the case given the bonuses are the external motivation</em>

I hope you find this information is useful and interesting! Good luck!

3 0
3 years ago
If you want to know whether a company had a profit or a loss during a specific period of time, which financial
elixir [45]

Answer:

d income statement

Explanation:

this statement shows profit/loss

6 0
3 years ago
There are three consecutive steps in a customer service process. The first two steps are each capable of serving 25 customers pe
MakcuM [25]

Answer:

If the first two steps are run at full​ capacity, then the third step has a waiting line.

Explanation:

Waiting line is defined as a line of people or vehicles waiting for something. Hence, if the first two step runs in a full capacity been able to serve 25 customers per hour. Meaning for each hour 50 customers will be attended to by the two, then the third will surely be on a waiting line.

3 0
4 years ago
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