Answer:
A. Cost of funds has changed
B. Firm's risk has changed
Explanation:
The required rate of return on bonds refers to an investor's expected rate of return which is based upon rate of return other investors earn in the market on similarly priced bonds. This is also referred to as yield to maturity i.e YTM.
Coupon rate of payment of bond is the interest payment on such bonds which is usually fixed at the time of issue of such bonds.
Required rate of return may differ on account of change in cost of funds to the issuer which is cost of debt denoted as
. Cost of debt is determined by tax rate and net proceeds from the issue of such bonds.
Required rate of return may also change on account of change in the firm's risk. If the firm assumes more risk, such risk would deter investors from investing in such bonds and in such scenario, the firm has to offer higher coupon rate than the rate prevailing in the market to attract the investors.
Answer:
involve the current receptionist in the decision process.
Explanation:
When changes are to be made that will affect an employee, the best way to reduce resistance to the change is to involve the employee in the decision-making process.
By involving the employee they will get to see the benefits of the new initiative and this will also convince them that it is for the good of the business and not a ploy to replace them.
Employees have a higher buying and will drive implementation more when they were part of the process for change.
Answer:
3.020
Explanation:
Morrit Corporation
interest amount = $1,080,000*.11 = $118,800
Net profit = 3% *$6,000,000= $180,000
Net profit + tax = profit before tax =
180000/.75 = 240000
Profit before tax + Interest = Earning before interest and tax
= $240,000+$118,800 = $358,800
TIE ratio= EBIT/Interest = $358,800/118,800
= 3.020
Therefore the TIE ratio is 3.020
Answer:
OPTION C i.e 11%
Option A i.e 30.55 year
Explanation:
we know that capital can be calculated as


from the data given in question we can calculate the value of r
so


solving for r we get
r = 11%
option C
we know that


from the data given we can evealueate the value of n


solving for n we get
n = 30.55 year.
Option A
Answer:
20,000
Explanation:
Only rented house is counted as per gdp