<h2>Establish a business environment that promotes and rewards is the choice which the Prime Minister likely to choose.</h2>
Explanation:
The motto here is to increase the wealth of the country.
Option 1: Invading other countries is unethical and also, it cannot assure that, Cantlivia will improve. The reason is the country which the option says is poorer than Cantlivia, so point of growth could be seen.
Option 2: Already the country economy is down, so purchasing new tools is not possible hence this option is invalid.
Option 3: We can increase wealth only by creating business and creating entrepreneurs. So this is the right choice.
Option 4: Creating a barrier will actually slow down wealth. So this option is not right.
Answer:
$8.2 million
Explanation:
As per given data
EBITDA $22.5
Net Income $5.4 Million
Interest Expense = $6 million
Tax rate = 35%
As we know the Tax is deducted from the income before tax to calculate the net income. We will calculate the Earning before tax first.
EBT = Net Income x 100% / ( 100% - 35% )
EBT = 5.4 million x 100% / 65%
EBT = $8.3 million
Now we need to calculate the Earning Before interest and Tax
EBIT = EBT + Tax Expense = $8.3 million + $6 million = $14.3 million
The Difference between EBIT and EBITDA is depreciation and amortization expense.
Depreciation and Amortization expense = EBITDA - EBIT = $22.5 million - $14.3 million = $8.2 million
Explanation:
Occupancy rate is the ratio of rented or used space to the total amount of available space.
The potential gross rate is the total rental income a property can produce if all units were fully leased and rented at market rents with a zero vacancy rate.
They relate through that they both allow for renting?
Answer:
a. Debt holders have first claim on corporate value. The Preferred stockholders then have next claim and remaining is left for common stockholders.
b. The value of a financial asset is equal to present value of future cash flows which is provided by the asset. When investor buys a share of stock, (s)he typically expects to receive cash in the form of dividends and to sell the stock to receive cash from sale. However, the price any investor receives is highly dependent upon the dividends which the next investor expects to receive, and so on. Thus, the stock's value depends on cash dividends that the company is expected to provide and the discount rate used to find the present value of those dividends.
d. The formula to calculate present value of expected free cash flows is:
PVn=CFn(1+in)n
The formula for the present value of expected free cash flows when discounted at WACC is:
PV=∑Nn=0CFn(1+in)n
Explanation:
a. Debt holders have first claim on corporate value. The Preferred stockholders then have next claim and remaining is left for common stockholders.
b. The value of a financial asset is equal to present value of future cash flows which is provided by the asset. When investor buys a share of stock, (s)he typically expects to receive cash in the form of dividends and to sell the stock to receive cash from sale. However, the price any investor receives is highly dependent upon the dividends which the next investor expects to receive, and so on. Thus, the stock's value depends on cash dividends that the company is expected to provide and the discount rate used to find the present value of those dividends.
d. The formula to calculate present value of expected free cash flows is:
PVn=CFn(1+in)n
The formula for the present value of expected free cash flows when discounted at WACC is:
PV=∑Nn=0CFn(1+in)n
