Answer:
8.04%
Explanation:
The formula to compute WACC is shown below:
= Weightage of debt × cost of debt × ( 1- tax rate) + (Weightage of common equity × (cost of common equity)
= (0.38 × 5.46%) × ( 1 - 40%) + (0.62 × 10.96%)
= 1.24488% + 6.7952%
= 8.04%
The weightage of common equity would be
= 100% - 38%
= 62%
This is the answer and the same is not provided in the given options
Answer:
joint venture
Explanation:
A joint venture is basically a business entity set up by two other companies (or even more companies that associate with each other) to serve a specific market or accomplish a specific project or task, but the two parent companies continue to operate separately form each other. For example, in China the government used to require that foreign companies form joint ventures with local companies in order for them to start operating there.
<span>He should either use a table or a chart because its the easiest way to show information. </span>
Answer:
Goodwill impairment occurs when a company decides to pay more than book value for the acquisition of an asset.
An impairment is recognized as a loss on the income statement and as a reduction in the goodwill account. The amount of the loss is the difference between the current fair market value of the asset and its carrying value or amount.
Explanation:
Answer:
Net Income 180,000
Explanation:
The net income will be calculate by subtracting the expenses from the sales revenue of the firm
Sales revenue 500,000
Cost of goods sold (200,000)
Gross Profit 300,000
Operating expenses
Supplies expense (20,000)
Wages expense (100,000)
Net Income 180,000
