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Katena32 [7]
3 years ago
9

Wild Flowers Express has a debt-equity ratio of .60. The pretax cost of debt is 9 percent while the unlevered cost of capital is

14 percent. What is the cost of equity if the tax rate is 23 percent
Business
1 answer:
andre [41]3 years ago
4 0

Answer:

0.1631 ; 16.31%

Explanation:

Given:

Cost of capital = 14% = 0.14

Debt to equity ratio = 60% = 0.6

Cost of debt = 9% = 0.09

Tax rate = 23% = 0.23

Cost of equity : cost of capital + debt - to - equity ratio * (1 - tax rate) * (cost of capital - cost of debt)

Cost of equity = 0.14 + 0.60 × (1 - 0.23) × (0.14 - .09)

Cost of equity :

0.14 + 0.60 * 0.77 * 0.05

0.14 + 0.0231

= 0.1631 ; 0.1631 * 100% = 16.31%

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kap26 [50]

Answer:

c. phishing

Explanation:

  • Phishing is a fraud attempt to get sensitive information as passwords usernames and credit card related information, by posing as the trustworthy entity in the electronic communication as email or website and even messaging etc.
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4 0
3 years ago
Nissley Wedding Fantasy Corporation makes very elaborate wedding cakes to order. The owner of the company has provided the follo
Lena [83]

Answer:

$230.02

Explanation:

Calculation for what amount would the company have to charge for the Tijerina wedding cake to just break even

Size related $69.16

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($28.42 per tier × 2 tiers)

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($74.92 per order × 1 order)

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Total cost $230.02

($69.16+$56.84+$74.72+$29.30)

The amount that the company would have to charge for the Tijerina wedding cake to just break even will be $230.02

3 0
3 years ago
_______ custody grants both parents responsibilities and rights toward the child.
slavikrds [6]

B. Joint or shared. both parents have been seen as able to raise the child in question


6 0
4 years ago
The coins we use as money usually have a sculptural design in what form?
Scrat [10]
<span>Low relief. A low relief is an anticipating picture with a shallow general profundity, for instance utilised on coins, on which all pictures are in low help. In the most minimal reliefs the relative profundity of the components indicated is totally contorted, and if seen from the side the picture has neither rhyme nor reason, yet from the front the little varieties inside and out enlist as a three-dimensional picture. Different forms contort profundity significantly less. It is a system which requires less work, and is in this way less expensive to deliver, as less of the foundation should be evacuated in a cutting, or less displaying is required</span>
3 0
3 years ago
Angel Corporation reported pretax book income of $1,018,000. During the current year, the net reserve for warranties increased b
ira [324]

Answer:

$346,120

Explanation:

Calculation for what Angel's hypothetical tax expense in its reconciliation of its income tax expense is

Using this formula

Tax expense =Pretax book income*Tax rate

Let plug in the formula

Tax expense =$1,018,000*34%

Tax expense =$346,120

Therefore Angel's hypothetical tax expense in its reconciliation of its income tax expense is $346,120

6 0
3 years ago
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