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2 years ago

Say you are grocery shopping and you come across an item for which the unit price is not labeled. How can you find the

1 answer:

3 0

Find a convenient and reasonable unit of measurement to use, then divide the cost of the package by the number of units chosen in that package.

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Tropical Fruit Extracts expects its earnings before interest and taxes to be $218,000 a year forever. Currently, the firm has no

katen-ka-za [31]

Answer:

The unlevered value of the firm is $869325.15

Explanation:

For computing the value of unlevered firm, the following formula should be used which is shown below:

Value of levered firm = Earning before interest and taxes × (1 - tax rate) ÷ cost of equity

where,

Earnings before income and taxes are $218,000

Cost of equity is 16.3%

And, the tax rate is 35%

Now put these values on the above formula

So, the value would be equals to

= $218,000 × (1 - 0.35) ÷ 16.3%

= $141,700 ÷ 16.3%

= $869325.15

The other terms like bonds and the annual coupon should not be considered in the computation part because we have to calculate for unlevered firm which only includes equity and the bond is a debt security. Thus, it is irrelevant.

Hence, the unlevered value of the firm is $869325.15

3 0

3 years ago

Cheetah Copy purchased a new copy machine. The new machine cost $134,000 including installation. The company estimates the equip

RSB [31]

Answer:

1,000.12

Explanation:

4 0

2 years ago

Assume that eggs and cereals are substitute products for breakfast. If a disease kills a large number of chickens, what will hap

larisa [96]

Answer:

The correct answer is letter "D": the quantity demanded of cereal will increase.

Explanation:

According to the demand theory, as long as the quantity demanded increases, the price would decrease (the demand curve shifts to the right). The quantity demanded decreases when the price would increase (the demand curve shifts to the left).

In the example, as eggs and cereals are substitute products, if a disease kills a large number of chickens there will be fewer eggs supply in the market. Consumers will start looking for substitutes. Then, the quantity demanded for cereal will increase moving the demand curve to the right.

6 0

3 years ago

Which feature prevents a company from uilizing the private assets of its shareholders for the payment of its leabiities?

-Dominant- [34]

Answer: Limited Liability

Explanation: Business owners' liability for debts is restricted to the amount they put into the business.

3 0

2 years ago

Frank, the CEO of an American production company, negotiated an opportunity with a television provider in India. After the negot

In-s [12.5K]

Answer:

The contract would be described as International Contract.

Explanation:

International Contracts: International contracts refers to a legally binding agreement between parties based in different countries, in which they are obligated to do or not do certain things. International contracts may be written in a formal way such as the example of Frank contracting an Indian television provider.

Consequently, Frank and the Indian television provider having entered into a contract, are governed by international contract law unless they agree to abide by the laws of one of the US and India.

Moreover, International sales contracts are governed by the United Nations Convention on Contracts for the International Sale of Goods (CISG) from 1980.

8 0

2 years ago

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