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Scrat [10]
3 years ago
8

The cost of capital:

Business
1 answer:
ladessa [460]3 years ago
7 0

Answer:

Option A: is the expected rate of return on a capital investment.

Explanation:

A capital is usually the money used to start up any business.

Cost of capital is simply cost of company's long-term sources of funds: debt, preferred equity and others. It shows how the market views the risk of the firm's assets. A firm must earn required return to compensate investors for the financing the business.

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Answer:

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Explanation:

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What are the advantages and disadvantages of Frito-Lay drivers stocking their customers’ shelves?
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Mariah is single and has a monthly disposable income of $3,200. Her monthly cash outflow is approximately $2,800. Mariah include
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What is the south african government providing and for whom ?
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4 0
3 years ago
Determining asset cost, preparing depreciation schedules (3 methods), and identifying depreciation results that meet management
den301095 [7]

Answer:

total cost = $100,000 + $3,000 + $600 + $10,400 = $114,000

straight line depreciation expense = ($114,000 - $12,000) x 1/5 = $20,400

year       depreciation expense        book value

1                   $20,400                         $93,600

2                  $20,400                         $73,200

3                  $20,400                         $52,800

4                  $20,400                         $32,400

5                  $20,400                         $12,000

<u>RESULTS IN HIGHER INCOME DURING THE FIRST YEAR. </u>

<u />

units of production deprecation = ($114,000 - $12,000) / 136,000 = $0.75 per mile

year       depreciation expense        book value

1                   $24,000                         $90,000

2                  $24,000                         $66,000

3                  $24,000                         $42,000

4                  $24,000                         $18,000

5                  $6,000                           $12,000

double-declining-balance depreciation:

depreciation year 1 = $114,000 x 2/5 = $45,600

depreciation year 2 = $68,400 x 2/5 = $27,360

depreciation year 3 = $41,040 x 2/5 = $16,416

depreciation year 4 = $24,624 x 2/5 = $9,850

depreciation year 5 = $14,774 - $12,000 = $2,774

year       depreciation expense        book value

1                   $45,600                         $68,400

2                  $27,360                         $41,040

3                  $16,416                           $24,624

4                  $9,850                           $14,774

5                  $2,774                            $12,000

7 0
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