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Akimi4 [234]
3 years ago
7

For which capital component must you make a tax adjustment when calculating a firmâs weighted average cost of capital (WACC)?

Business
1 answer:
SOVA2 [1]3 years ago
4 0

Answer:

a. Debt

Explanation:

For determining the weighted average cost of capital we used the after tax cost of debt as the interest expense is the tax deductible that represents that if there is any issue of debt so it would be decreased as of tax impact

Therefore as per the given situation, the debt is selected

hence, the option a is correct

And, all the other options are wrong

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Do you believe initiative is an important quality? Defend your answer.
Olegator [25]

Initiative is an important quality because it proves that you want to do your job or task successfully and independently. Lack of initiative shows laziness and/or low confidence in one's skills.

3 0
3 years ago
Read 2 more answers
Absolute v. comparative advantage activity this chart shows how many units of tractors and cotton workers can produce in the uni
goldenfox [79]

Answer: a). Spain

b). none

c). 2.4

Explanation: a). Absolute advantage occurs when a country produces more of a good than the other country. In this case, Spain produces 50 units of Tractors while, Bolivia produces only 30 units of Tractors. Thus, Since Spain is producing more it has an absolute advantage in Tractors.

b). Both the countries are producing equal units of Cotton. Thus, we can say that none of them has an absolute advantage in cotton production.

c. Opportunity cost is the cost of the lost alternative. When Spain produces Tractors it is sacrificing production of Cotton. So, opportunity cost on 1 unit of Tractor will be,

Opportunity cost = \frac{120}{50} =2.4

Thus, 2.4 units of cotton which is given up is the opportunity cost of Spain for producing 1 unit of Tractor.

4 0
3 years ago
Far Horizons, Inc. has experienced a lot of absenteeism and turnover among employees, particularly among ethnic and religious mi
ycow [4]

Answer:

Option D. Adjust working hours to accommodate workers' personal needs.

Explanation:

The reason is that discrimination is treating an employee unfairly on basis of employee's religion, color, etc. and treating them by implementation of policies would not make it violate the discrimination act if the company is already struggling hard to better manage the people by adjusting worker's personal needs which means now if they still are absent then they are accountable for their unethical deeds.

3 0
3 years ago
The point that each glass of lemonade consumed on a hot day brings lower and lower levels of satisfaction is known as the princi
givi [52]

Answer:

decreasing marginal benefit.

Explanation:

A consumer measures the amount of satisfaction gained by consuming a product in making a buying decision.

When a person comes a product his satisfaction increases up to a point, and from that point as consumption increases the satisfaction derived reduces.

Consumption after this point is known as decreasing marginal benefit to the customer.

This affects the customer's willingness to buy more of this product. Patronage of lemonade will reduce as the customer looks for another product to satisfy his needs.

8 0
3 years ago
Mona contracts to repair a computer for New Data, Inc. (NDI) for $450 and have it done by next Monday. Mona knows that without t
damaskus [11]

Answer:

$5,000

Explanation:

Consequential damages are damages that result from the one party in a contract not performing their part or breaching the contract.

In this case, New Data can sue Mona for consequential damages resulting from Mona not performing her contractual obligations. The damages that New Data can recover = $5,000 which is the profit from the lost sale. The $1,000 spent fixing the computer cannot be recovered.

8 0
3 years ago
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