Answer:
A
Explanation:
95% confidence interval gives the lower and upper limit for the mean corn yield per acre
Lower limit is 128.4 bushel per acre and upper limit is 131.6 bushel per acre
Answer:
$4,500,000
Explanation:
current market price per stock $20
total stocks outstanding 500,000
corporation's total value = 500,000 x $20 = $10,000,000
investor's offer to purchase 100% at $14,500,000
controlling interest premium = $14,500,000 - $10,000,000 = $4,500,000
new price per stock = $14,500,000 / 500,000 = $29
The controlling interest premium equals the difference between the current market price of the stock and the purchase offer.
Answer and Explanation:
a.
According to the United States law that governs whistle blower protection, the whistle blowers could be protected from expected retaliation that can be from a team or an individual for company violation in terms of laws, rules, etc
Also it protects the permanent employees and the workers who work on temporary basis that report the major mistakes
So here the Judy would be eligible for the whistleblower protection
b.
The factors that need to be considered are as follows;
1. The actions that breaks the rules of the company
2. The reason of firing Jude after getting the offer of new employment
3. The action i.e. subduing due to which Jude become speechless in the exit interview
Only these three factors are need to be considered
Answer: Henry should purchase this plant as it pays back in less than the 6 years it will have to be replaced in.
Payback period = 3.7 years
Explanation:
Payback period is a capital budgeting strategy that shows how long it will take for cash inflow to pay off the original investment.
The formula is;
= Year before payback + Cashflow remaining till payback/ Cash inflow in year of Payback
Year before payback
= 1,200,000/ 325,000
= 3.69
= 3 years
Cashflow remaining
= 1,2000,000 - (325,000 * 3)
= $225,000
= Year before payback + Cashflow remaining till payback/ Cash inflow in year of Payback
= 3 + 225,000/325,000
= 3.69
= 3.7 years
Answer:
Weight of equity = 0.31067 or 31.067% or 96/309
Explanation:
WACC or weighted average cost of capital is the cost of a firm's capital structure which can comprise of debt, preferred stock and common equity. The WACC for a firm can be calculated as follows,
WACC = wD * rD * (1-tax rate) + wP * rP + wE * rE
Where,
- w represents the weight of each component based on market value in the capital structure
- r represents the cost of each component
- D, P and E represents debt, preferred stock and common equity respectively
To calculate the weight of equity in WACC computation, we first need to find out the Market value(MV) of each component and the market value of the overall capital structure.
MV of common equity = 8 million shares * 12 per share
MV of common equity = $96 million
MV of Preferred stock = 6 million shares * 30 per share
MV of Preferred stock = $180 million
The bonds are usually have a par value of $1000 unless specified otherwise.
MV of debt = 30 thousand * $1000 * 110%
MV of debt = $33 million
MV of total capital Structure = 96 + 180 + 33 => $309 million
Weight of equity = 96 / 309
Weight of equity = 0.31067 or 31.067% or 96/309
