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pav-90 [236]
2 years ago
8

Why does the cost of capital constitute a direct link between return on capital expenditure and the returns required by capital

investors
Business
1 answer:
Vinil7 [7]2 years ago
3 0

Answer:

The overview of the statement is summarized below.

Explanation:

  • The capital structure seems to be the ratio of net required by investors toward about there capital expenditure. Investment return capital spending seems to be the return rate required for expenditure.
  • Returns required by financial institutions are much worse than the amount of capital, even before investors necessitate a reasonable level of profitability.
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When Patey Pontoons issued 6% bonds on January 1, 2018, with a face amount of $600,000, the market yield for bonds of similar ri
miskamm [114]

Answer:

Follows are the solution to this question:

Explanation:

Some of the missing data is defined in the attached file, please find it.

Bond problem rates  

Diagram values are based on the following:

N = 4\times 2 \\\\

    = 8 \ Years \\

i = 10.00 \% \times  \frac{1}{2} \\\\

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Bond issuance price                                                                    

Timetable for bond amortization:  

please find the attachment.

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True

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