Answer:
True
Explanation:
The trade off theory states that capital structure decisions involve a trade off between costs and benefits of debt financing. Originally MM argued that a firm's capital structure should be 100% debt, but after accounting for bankruptcy costs, then the firm's capital structure should be less than 100% debt. Companies must substitute debt for equity at different levels (or vice versa if needed) until they reach a balance where the firm's value is maximized.
Your answer is D.) Retail Price!
Answer:
$18,880
Explanation:
Current Liabilities are those liabilities which need to be paid within on year time. These liabilities are also called short term liabilities.
Following Liabilities are considered as the current liabilities because these needs to be paid within one year.
Accounts Payable $13,000
Employee Health Insurance Payable $450
Employee Income Tax Payable $400
Estimated Warranty Payable $600
FICA—OASDI Taxes Payable $560
Sales Tax Payable $370
Current Portion of Long-Term Notes Payable <u>$3,500
</u>
Total Current Liabilities <u>$18,880</u>
Following are all the Non current liabilities balances:
Long-Term Notes Payable(Due 2019) 33,000
Mortgage Payable(Due 2020) 6,000
Bonds Payable(Due 2021) 53,000
Answer:
a.It would decrease the costs associated with transporting the luxury cars from existing manufacturing facilities to China.
Explanation:
Since in the question it is mentioned that Jaguar-Land Rover seems as more recognizable in the chinese market due to which sales is increased from 1 % to 20%
Now this impact while opening a factory if it in opens in a large market i.e. developing so there is a reduction in the cost that attached the transportation of the luxurious cars
So the same is to be considered
