Answer:
Weighted average cost of capital= 5.94%
Explanation:
The cost of debt is the required rate of return payable to investors in the debt instruments of a company. These investors include providers of long term debt finance to the company.
<em>The cost of debt finance can determined by working out the yield to maturity on debt with adjustment for tax. </em>
It is noteworthy that debt finance affords the company a tax savings advantage because interest expense incurred on the use of debt of are tax deductible expense.
After-tax cost of debt = (1- Tax rate) × before-tax cost of debt
Before tax cost of debt = 9%
Tax rate = 34%
<em>Aft</em>er-tax cost of debt = (1-0.34) × 9% = 5.94%
After-tax cost of debt = 5.94%
Weighted average cost of capital= 5.94%
Answer:
Adhering to taxation rules, Ensuring consumer protection, Identifying limited market segments, Managing consumer trust
Explanation:
E Business is a business having major or all of its transactions, on internet medium. Eg : E Commerce (Online shopping) businesses, Online educational courses businesses.
Audio Podcasting & Video-Conferencing are not E Businesses challenges. As these are their expertise areas, being an online business. Also, the user flexibility they offer is inherent USP of online businesses. Similar is the case for content management systems.
However, lacking physical existence in markets, face to face interaction with customers : They face challenges like - identifying limited market segments, consumer trust & consumer protection. Also, all their variant transactions (with different tax slabs) being online, the return policies - might make taxation rule adherance also a potential challenge for them.
Top one is advantage, second down is a drawback, advantage for the third, and the last one on the bottom is a drawback.
Answer:
(a) see curve on attachment
(bi) consumer surplus= $4
(bii) see diagram on attachment
(biii) utility = 2
(ci) u(0,1) = 1
(c) utility gain = 1.6
Explanation:
Answer:
1.Cash flow from operations = <u>F</u>
2.Number of reports of mishandled or lost baggage= <u>C</u>
3.Percentage of on-time departures= <u>C</u>