Answer:
10.12%
Explanation:
The computation of the WACC is shown below:
= Cost of debt × (1 - tax rate) × weight of debt + cost of equity × weight of equity
= 6% × (1 - 0.21) × 0.35 ÷ 1.35 + 12% × 1 ÷ 1.35
= 1.23% + 8.89%
= 10.12%
We simply multiplied the capital structure with each of its weight so that the WACC could come and the same is to be considered
Answer:
bigger is the correct answer.
Explanation:
Answer:Ordinary Business income loss =-$20,500.
Explanation:
Ordinary business Expenses are the expenses generally accepted according to the industry standards associated with running of a business.
Here, the ordinary business expenses for Zoom include
cost of good sold= $19,-000
employee wages= $17,000
rent expense = $11,500 and therefore will be deducted from its sales revenue.
charitable contributions and qualified dividends, do not cut across all industries and so are not classified under Ordinary Buisness expences.
Ordinary Business income loss = Sales revenue - cost of good sold, -employee wages- rent expense.
$27,000- $19,000-$`17,000-$11,500= -$20,500. to be reported on its X4 return
1) Answer: When the required return is equal to the coupon rate, the bond value is equal to the par value,
2) if the required return is less than the coupon rate the bond will sell at a premium.
Explanation:
1) The reason for this that the required return is the market or investors required rate of return for a particular bond, when the required rate and coupon rate are equal it means that the investor is getting the return he wants in coupon payments, therefore the investor will be willing to buy the bond on par value, as he is getting his required return in the form of coupon payments.
2) When the required return is less than the coupon rate the investor is getting more in coupons than he required from the bond so the bonds price will be higher than par so that the return from the coupons become equal to the required rate of return. Thats why when a bonds required return is less than the coupon it sells on a premium.
Answer: Promoters
Explanation:
A promoters is the person in an organization who start the corporate and manage the investors for the financial purpose. The promoters has ability to handle and also understand the actual requirement of the customers.
The main responsibility of the promoters is that they done all the necessary formalities regarding the organization investing registration and they also deal with the contracts in the business.
They also promote the company or organization by gain maximum project through the investing process.
