Answer:
Draw the person's budget constraint with the income guarantee
Answer: D) Search engine optimization
Explanation:
When you search for a query and various websites pop up, the websites that you would most likely pick are the very first ones that you see and these websites are so high up because they have very good search engine optimization.
Search engine optimization increases the visibility of a website so that people can be able to find the website better. The major way it does this is by using keywords that people search. Cranial Inc. needs to work on its Search engine optimization so as to increase traffic to their website.
Answer:
FCFE: 99
Explanation:
FCFE: cash flow from operation - CAPEX + borrowing
we calcualte the cash flwo form operation using the indirect method:
net income - preferred dividends = available for common stock
income = 125 + 14 = 139
net income 139
depreciation expense 50
change in working capital (30)
cash flow from operation: 159
CAPEX will be the long term assets investment
investment on fixed capital<u> 100 </u>
CAPEX 100
net borrowing 40
159 -100 + 40 = 99
Answer:
D. Asset S has $103,333 more in depreciation per year.
Explanation:
For computing the greater annual straight minus line depreciation first we have to determine the each assets depreciation expense which is shown below:
For Asset L
= (Original cost + installation cost - salvage value) ÷ (useful life)
= ($4,000,000 million + $750,000 - $0) ÷ (15 years)
= $316,666.67
For Asset S
= (Original cost + installation cost - salvage value) ÷ (useful life)
= ($2,000,000 million + $500,000 - $400,000) ÷ (5 years)
= $420,000
As we can see that the Asset S has high annual straight-line depreciation
And, the amount exceed is $103,333.33
Answer:
Steady Company's cost of equity is estimated to be 7.342%
Explanation:
The cost of equity is the return that is required by the holders of common stock in the company.
<em>Cost of Equity = Return on Risk free Securities + Beta × Risk Premium</em>
= 6.1 % + 0.18 × 6.9 %
= 7.342%
Therefore, Steady Company's cost of equity is estimated to be 7.342%.
