Answer:
The multiple choices are:
9.98 percent
10.04 percent
10.79 percent
10.37 percent
10.45 percent
The third option of 10.79% is correct
Explanation:
The cost of equity according to Miller and Modgiliani capital asset pricing model is given below:
Ke=Rf+beta*(Mrp-Rf)
Rf is the risk free rate which is the return on government security is 2.7%
beta is 1.14
Mrp is the market risk premium is 7.1% which is given in the formula as (Mrp-Rf)
Ke=2.7%+1.14*7.1%
Ke=2.7%+8.09%
Ke=10.79%
Hence the correct option out of the options given above is the third option
It is expected that any shareholder that invests in the shares of Southern Home Cooking would get return of 10.79%
Answer: Geocentric orientation
Explanation:
The management orientation that accurately characterizes a company that bases its decisions primarily on market research is the geocentric orientation.
A company that uses a geocentric orientation sees the whole world as a global market. We should note that a geocentric company makes its products and develops a marketing mix that's standardized for the global market.
Answer:
Ending inventory= 30,000
Explanation:
Giving the following information:
Its beginning inventory is $70,000, goods purchased during the period cost $240,000, and the cost of goods sold for the period is $280,000.
The ending inventory is the cost of the units remaining at the end of the period.
COGS= beginning finished inventory + cost of goods purchased - ending finished inventory
280,000= 70,000 + 240,000 - ending inventory
ending inventory= 70,000 + 240,000 - 280,000
Ending inventory= 30,000
A stepping stone towards a future education is when the student graduates from high school and got his or her diploma. This is the turning point where he or she will start on choosing the path of their careers and start on this careers in the betterment of the country and future education that they will learn as they step high.
Answer:
$200,000
Explanation:
The computation of the amount of pension expense is shown below:
= Service cost + interest cost - expected return + amortization + actuarial gain
= $120,000 + $2,500,000 × 6% - $2,000,000 × 8% + $40,000 + $50,000
= $120,000 + $150,000 - $160,000 + $40,000 + $50,000
= $200,000
Hence, the amount of pension expense is $200,000 and the same is to be considered
