Answer:
$2,152.22
Explanation:
Given that,
FinCorp’s free cash flow (FCFF) = $205 million
Firm’s interest expense, i = $22 million
Tax rate, t = 35%
Growth rate, g = 3%
Cost of equity, e = 12%
Net debt of the firm increases by $3 million
Interest expense (Net of tax) = -i × (1 - t)
= -$22 × (1 - 35%)
= -$22 × 0.65
= -$14.3
FCFE = FCFF + Debt + Interest expense (Net of tax)
= $205 million + $3 - $14.3
= $193.7
Therefore,
Market value of equity = FCFE ÷ (e - g)
= $193.7 ÷ (0.12 - 0.03)
= $2,152.22
Answer:
Check the explanation
Explanation:
If Mary issues stock, she would not be bearing any interest expense for the money she raised. since all the money she raised is through stock. Therefore, Cash flow for the year would be
$69000: [1592,000 *5150,000/ (V50,000+550,000)]
This is the cash flow for the year to be for Mary if she issues stock and remains open 6 days a week
Answer:
Is my approach professional and beneficial for the company?
Explanation:
Marla is facing an ethical dilemma best known as bias. As she has a personal relationship with Josh and has known him for a while now, she can't be purely objective when it comes to evaluating his performance. Even though she's pretty aware that his performance hasn't been up to the level required, their friendship might raise issues of value judgments. As her friend's supervisor, she needs to be as impartial, fair, transparent, and honest as possible. Her way to handle this situation will define her trustworthiness and loyalty towards the company and the other employees she's supervising.
Firms with new products often estimate price elasticity of demand by experimenting with different prices. When a firm releases a new product, they have to estimate what the demand will be based on the price they set because they don't exactly know what consumers are willing to pay for their item. Often times, a focus group or some type of information pannel is set up to allow consumers to see the product and give recommendations on price points for the company.
A leader who initiates change in a company by enhancing the culture of the work environment is using transformational leadership.
Leadership as both a field of study and practical skills includes the ability of an individual, group, or organization to "lead, influence, or direct" another individual, team, or organization as a whole. The word "leadership" is a common controversial term.
A leader is someone who is responsible for persuading others to follow you. Great leaders instill confidence in others and put them into action. The leader is the head or girl who runs the show.
Learn more about leadership here:brainly.com/question/12522775
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