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Vikki [24]
2 years ago
10

If a firm's marginal tax rate is increased, this would, other things held constant, lower the cost of debt used to calculate its

WACC. True False
Business
1 answer:
enot [183]2 years ago
8 0

Answer:

The answer is "True".

Explanation:

The marginal rate is indeed the extra income tax about any dollar earned as income. Its annual tax rate is the total tax paid divided by the total earnings. This marginal rate of 10% will impose a tax of 10 cents on every following income spent. that's why the given statement is true because the cost of debt = k\times (1-t)   and its t value will increase the cost of the decrease.

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Charles Schwab in 1971 was determined to build a stock brokerage firm that would be different. He cited that he was disturbed by
Alecsey [184]

Answer:

D) The Agency Problem

Explanation:

The agency problem refers to a conflict of interests between the principal and his/her agent. Agents have a fiduciary duty to act on the best interest of their principal, but sometimes agents place their own personal interest before the interests of their principal.

in this case, the brokers should act on behalf of their clients to make them earn the largest possible profits, but instead they focus on convincing them about transactions that increased the broker's profit and not the clients'.

4 0
3 years ago
What is the definition of collective bargaining?
sergij07 [2.7K]
It is the the negotiation of wages and other conditions of employment by an organized body of employees.
6 0
3 years ago
Read 2 more answers
In general, you will receive higher rates of interest on your certificate of deposit the ____ the maturity and the ____ the doll
ladessa [460]

Answer:

The answer is:

In general, you will receive higher rates of interest on your certificate of deposit the longer the maturity and the higher the dollar amount invested.

Explanation:

Interest rates are returns that an investor receive from their investment (under this situation - investment in certificate of deposit (CD)).

The higher the risk, the higher the return is required to compensate for the risk-taking of investor.

As long time commitment, that is long maturity, gives the investor higher exposure to risk and higher invested amount resulting to higher loss given default; investors will require higher return, that is - interest rate on CD, to compensate for their risk-taking.

Thus, longer and higher should be the correct choice to fill in the blank.

7 0
3 years ago
Myra provides accounting services as an independent contractor for Great Northern. Because of this relationship, Great Northern
Setler [38]
The answer to this question is False
8 0
3 years ago
Chinese mining companies supply 97% of the rare-earth materials used in manufacturing television screens. When China announced a
bearhunter [10]

Answer: Supplier dependence

Explanation:

Supplier dependence is the extent to which a firm (buyer) relies on the product of another firm (supplier) because of the importance of the supplier's products to it's own manufacturing process. The degree to which a buyer is dependent on a supplier's product is largely affected by the difficulty of accessing such products from another seller. In this case, 97% of this rare-earth materials are supplied by Chinese firms, the ban will greatly affect Hitachi manufacturing process.

5 0
3 years ago
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