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Archy [21]
3 years ago
6

An investment has the following characteristics: ATIRRP: After-tax IRR on total investment in the property: 9.0% BTIRRE: Before-

tax IRR on equity invested: 17% BTIRRP: Before-tax IRR on total investment in the property: 12% t: Marginal tax rate: 0.40 What would be the break-even interest rate (BEIR), at which the use of leverage is neither favorable nor unfavorable
Business
1 answer:
pshichka [43]3 years ago
5 0

Answer:

15%

Explanation:

Calculation to determine would be the break-even interest rate (BEIR)

Using this formula

Break-even interest rate (BEIR)= After tax IRR on total investment / (1- Tax rate)

Let plug in the formula

Break-even interest rate (BEIR)=9% / (1-0.40)

Break-even interest rate (BEIR)=9%/0.60

Break-even interest rate (BEIR)= 15%

Therefore would be the break-even interest rate (BEIR), at which the use of leverage is neither favorable nor unfavorable is 15%

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ToySpot, a soft toy manufacturer, receives an order of 250 teddy bears. For this particular order, its total inventory includes
Vinil7 [7]

Answer:

185 teddy bears are in work in progress inventory

Explanation:

given data

receives order = 250 teddy bears

fabric = 300 yards

ribbon = 200 yards

cotton = 250 pounds

to find out

how many teddy bears can be considered work-in-process inventory

solution

we know that teddy bears to be manufactured is = 250

so finished and this comes under finished goods inventory are

goods inventory = 65 teddy bears

and still in the process is 185 teddy bears

so they needs to undergo further process because the work is still not completed

so we can say that 185 teddy bears are in work in progress inventory

3 0
3 years ago
All else equal, which of the following would tend to cause real GDP per person to rise? a. a change from inward-oriented policie
bagirrra123 [75]

Answer:

The correct option is D

Explanation:

GDP (Gross Domestic Product) is the monetary amount of all the finished goods and services which is made within a country during a particular period. It measures or evaluates the value of the economic activity within a country.

Rise in GDP could be because of the strengthening in the property rights, increase in the investment in human capital and change from inward oriented policies to the outward policies.

.

8 0
3 years ago
FL Systems Inc. and Oryxo Systems Inc. are two competing firms. FL Systems Inc. has $300,000 in tangible assets and $200,000 in
BartSMP [9]

Answer:

C

Explanation:

Based on the scenario being described within the question it can be said that FL Systems Inc. will find it harder than Oryxo Systems Inc. to attain competitive advantage. This is mainly due to the fact that FL Systems Inc. has a large percentage of their money locked in intangible assets. These are assets that cannot be touched or physically used by the customers which makes it very difficult for customers to see the potential value which ultimately hurts their competitive advantage.

8 0
3 years ago
If the government removes a binding price floor from a market, then the price received by sellers will
Sauron [17]
It would overall decrease
6 0
3 years ago
The business structure you choose as a step for starting your new business affects the following?
pshichka [43]

Answer:

Define Yourself- Finding your Business Niche. Identify your interests and passions. Identify problems you can solve. Research your competition. ...

Test your idea.

Defining your Business – Branding. Identify your specific audience. Establish business processes.

<em><u>m</u></em><em><u>a</u></em><em><u>r</u></em><em><u>k</u></em><em><u> </u></em><em><u>m</u></em><em><u>e</u></em><em><u> </u></em><em><u>a</u></em><em><u>s</u></em><em><u> </u></em><em><u>a</u></em><em><u> </u></em><em><u>b</u></em><em><u>r</u></em><em><u>a</u></em><em><u>i</u></em><em><u>n</u></em><em><u>l</u></em><em><u>i</u></em><em><u>s</u></em><em><u>t</u></em><em><u>.</u></em>

6 0
2 years ago
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