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docker41 [41]
2 years ago
8

McDonald's Corp has a preferred stock paying a dividend of $19 and has a market price of $178. Calculate the cost of capital for

the preferred stock.
Business
1 answer:
Iteru [2.4K]2 years ago
3 0

Answer:

McDonald's Corp

The cost of capital for the preferred stock is:

10.67%

Explanation:

a) Data and Calculations:

Market price of preferred stock = $178

Preferred stock dividend = $19

Cost of capital = Preferred stock dividend/Market price of preferred stock * 100

= $19/$178 * 100

= 10.67%

b) The cost of capital for McDonald's preferred stock is the finance cost or interest cost that it must incur for financing its projects using preferred stock.  This represents the 10% of the preferred stock value that is paid out to preferred stockholders.

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Ecco Company sold $151,000 of kitchen appliances with six-month warranties during September. The cost to repair defects under th
erik [133]

Answer:

The journal entries are shown below

Explanation:

The journal entries are as follows

a. Product warranty expense $13,590             ($151,000 × 9%)

        To Product warranty payable $13,590    

(Being the warranty estimated expense is recorded)

b. Product warranty payable   $207

                To Supplies  $120

                 To Wages payable $87

(Being the warranty work is recorded)

Only these two entries are passed

8 0
3 years ago
What statement about progressive taxes is true?
vekshin1
B is the answer <span>B- the rate remains the same , even if income increases or decreases
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4 0
3 years ago
If a manufacturing process takes 4 hours per unit of x1 and 2 hours per unit of x2 and a maximum of 100 hours of manufacturing p
Darina [25.2K]

The algebraic formulation of the constraint involved in this manufacturing process is <u>c. 4x1 + 2x2 <= 100</u>.

<h3>What is a constraint?</h3>

A constraint is a condition that an optimization problem must satisfy to provide a solution.

The types of constraints are:

  • Equality constraints
  • Inequality constraints
  • Integer constraints.

<h3>Answer Options:</h3>

a. 4x1 + 2x2 >= 100

b. 4x1-2x2 <= 100

c. 4x1 + 2x2 <= 100

d. 4x1 2x2 >= 100

Thus, the algebraic formulation of the constraint involved in this manufacturing process is <u>c. 4x1 + 2x2 <= 100</u>.

Learn more about constraints at brainly.com/question/23796291

7 0
2 years ago
the percentage of totoal workers who are out of work but seeking jobs and willing to work is known as the ___ rate?
liubo4ka [24]

Answer:

the unemployment rate

4 0
3 years ago
Read 2 more answers
Peter Parker, the HR vice-president of a well-known IT firm, called his team members for a meeting to discuss the measures to be
NikAS [45]

Answer:

groupthink

Explanation:

In team discussions and debates, groupthink is a common phenomenon where team members tend to agree with others without a constructive discussion filled with arguments. It is very common when an authoritative person (manager) is leading the discourse of discussion.

In this example, the reached consensus is an example of groupthink, since the team members did not critically evaluate the troublesome issue.

8 0
2 years ago
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