A favorite company would be Walmart, because we go there often. A specific product is hard to determine.
D) Account receivable and note receivable are showing in Expense
Answer:
The answer is 6 radishes in America and 2 radishes in Bangladesh
Explanation:
opportunity cost in America = 50: 300 = 1:6
Opportunity cost in Bangladesh = 100:200= 1:2
Answer:
Option B Evaluate the alternatives
Explanation:
The reason is that if don't know the pros and cons of an alternative move then how can you choose the better option. To make a rational decision which is unbiased and which favors the best available option on the basis of maximum benefits and fewer risks, we have to evaluate whether the available alternative option is better option or not.
After evaluation we choose the better option available which is option d "select the best alternative".
Answer:
A. 5.56%
B. 13.55%
Explanation:
In this question, we are asked to calculate the equity cost using the DCF method and the SML method
A. DCF approach
cost of equity =[ D0(1+growth )/ current price] +growth
= [.40 (1+.05) / 70 ] + .05
= [ .42 / 75] + .05
= .0056 +.05
= 0.0556 same as 5.56%
B)SML approach
Cost of equity = Rf +Beta (Rm-Rf)
= 5.8+ 1.25 (12 -5.8 )
= 5.8+ 1.25 *6.2
= 5.8 + 7.75
= 13.55%
