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:
The correct answer is $300,000.
Explanation:
According to the scenario, the computation of the given data are as follows:
Original cost = $250,000
Fair value = $300,000
Retail value = $520,000
As Share based transaction of the organization record or issued always at fair value for which the goods or services are exchanged.
Here, Fair value is given.
So, the transaction will be recorded at fair value = $300,000
Answer:
a. the college is a constructive bailee, obligated to return the textbook to Lacy, and until it does, it is liable for harm to the property.
Explanation:
When a party comes into possession of a property not by contractual agreement, they are referred to as constructive bailee and are obligated to take care of the property till it is returned to the owner.
The bailee does not willingly take possession of the property, rather unforseen circumstances leads to them possessing it.
This is common when a person forgets his property in a place.
In the given scenario the college (Dean of Business College) became a constructive bailee when they recieved the misplaced textbook. So they are obligated to care for the textbook till it get back to Lacy or be held liable for any harm done
The correct answer is the following.
A) Tax credits were offered for expenditures on home insulation. Affected the demand by decreasing it and the price decrease.
B) The Alaskan oil pipeline was completed. Affect the increase of supply and the price and the price decreases.
C) The ceiling on the price of oil was removed. Affect the decrease in demand and the price varies.
D) Oil was discovered in the North Sea. Affect the supply by increasing it and the price decreases.
E) Sport utility vehicles and minivans became popular. Affect the increase of the demand and the price increases.
F) The use of nuclear power decreased. Affect the increase of the demand and the price increases.
Many variables affect the price of oil. International prices are modified constantly and countries should have their provisions in order to prevent drastic changes to their economies due to the fluctuation of international oil practices. The important thing to consider is that not only economic factors affect the price of oil, but also political factors.
Answer:
20 shares of XYZ and 11 shares of the spin-off
Explanation:
The 20 shares of XYS comes from
= 200 shares × 10%
= 20 shares-
So, the total number of shares now is
= 200 shares + 20 shares
= 220 shares
And there is 5% spin off
So, the number of shares contains spin off is
= 220 shares × 5%
= 11 shares
This represents the separate company
hence, there is 20 shares of XYZ and 11 shares of the spin-off