Answer:
-$1,800
Explanation:
Given that
Tax liability = $1,700
Prepayment made = $1,500
Child tax credit = $2,000
The computation of tax refund is given below:-
= Tax liability - (Prepayment made + Child tax credit)
= $1,700 - ($1,500 + $2,000)
= $1700 - $3500
= -$1,800
Therefore, from the above calculation simply we subtract tax liability from prepayment and child tax credit.
Answer:
$4,650,000,000
Explanation:
We will use the formula below to calculate the enterprise value of Correct inc.
Enterprise value = Market value capital and debts - Cash and investments
= 100 million diluted shares × 37.50 per share + $1 billion of debt outstanding - $100 million cash
= $3750m + $1000m - $100m
= $4,650,000,000.
Answer:
The correct answer is option C.
Explanation:
`If firms can easily enter and exit the market, then firms operating in the market will earn zero economic profit in the long run. This is because the short run is too short for firms to enter and exit so potential firms will enter and exit in the long run.
If the existing firms will be having negative profits, the firms having loss will exit the market. This will reduce market supply. As a result, the price level will increase. This will go on until all firms will have zero economic profits.
Similarly, if the existing firms are having positive economic profits in the long run, the other firms will enter the market. This will increase the market supply such that the price level decreases. This will go on till all the firms will be having zero economic profits.
Answer: Equilibrium price is $20 and equilibrium quantity is 4 units.
Explanation: Equilibrium is a situation of rest, a situation where demand for a good is equal to its supply. The price that balance demand and supply is known as the equilibrium price.
![Q_{xd} = 14 - \frac{1}{2} P_{x}\\Q_{xs} = \[tex]Q_{xd} = Q_{xs} 14 - \frac{1}{2} P_{x} = \frac{1}{4} P_{x} - 1 14 + 1 = \frac{1}{4} P_{x} + \frac{1}{2} P_{x} 15 = \frac{3}{4} P_{x} 20 = P_{x}](https://tex.z-dn.net/?f=Q_%7Bxd%7D%20%3D%2014%20-%20%5Cfrac%7B1%7D%7B2%7D%20P_%7Bx%7D%3C%2Fp%3E%5C%5C%3Cp%3EQ_%7Bxs%7D%20%3D%20%5C%5Btex%5DQ_%7Bxd%7D%20%3D%20Q_%7Bxs%7D%20%3C%2Fp%3E%20%3Cp%3E14%20-%20%5Cfrac%7B1%7D%7B2%7D%20P_%7Bx%7D%20%3D%20%20%20%5Cfrac%7B1%7D%7B4%7D%20P_%7Bx%7D%20%20-%201%3C%2Fp%3E%20%3Cp%3E14%20%2B%201%20%3D%20%5Cfrac%7B1%7D%7B4%7D%20P_%7Bx%7D%20%2B%20%5Cfrac%7B1%7D%7B2%7D%20P_%7Bx%7D%20%20%3C%2Fp%3E%20%3Cp%3E15%20%3D%20%5Cfrac%7B3%7D%7B4%7D%20P_%7Bx%7D%20%3C%2Fp%3E%20%3Cp%3E20%20%3D%20P_%7Bx%7D)
[/tex] = Equilibrium price
Equilibrium quantity is given by,
Answer: 7.46%
Explanation:
The CAPITAL ASSET PRICING MODEL is a very useful tool for calculating a firm's Cost of Equity.
The Formula is,
Rc = Rrf + b(Rpm)
Where,
Rc is the Cost of Equity
Rpf is the Risk risk free rate
b is beta
Rpm is the risk premium
Plugging in the digits we have,
Rc = 0.0350 + 0.88(0.045)
= 0.0746
The firm's cost of equity from retained earnings based on the CAPM is therefore 7.46%
