Answer:
1. $275 million
Yes
2. 30%
Explanation:
Calculation for the NPV of the investment opportunity
NPV = –100 + 30/0.08
NPV= $275 million
Therefore the NPV will be $275 million
Yes, Based on the above Calculation they should make the investment
2. Calculation for IRR
IRR: 0 = –100 + 30/IRR
Hence,
IRR = 30/100
IRR = 30%
Therefore the IRR will be 30%
The IRR is great only in a situation where the cost of capital does not go beyond 30%.
Answer:
the answer is a
Explanation:
An apprentice is someone following the in print 18 around and doing what they're doing just less important things
Answer:
the debit entry to Interest Expense is $463,145.52
Explanation:
The computation of the debit entry to Interest Expense is given below:
= Bonds carrying value × Market rate of interest
= $3,859,546 × 12%
= $463,145.52
Hence, the debit entry to Interest Expense is $463,145.52
We simply applied the above formula and the same is to be considered
Answer:
The answer is False
Explanation:
Since the 70 percent of preferred dividends received by a company is excluded from taxable income, the component cost of equity for a corporation which pays half of its revenue out as a common dividends and half as preferred dividends should ,technically be.
Answer:
B. levied on purchases of a particular good or service.
Explanation:
- A sales tax is a tax that is given to the government body and is provided to the production of the particular goods and the services and its a set of the sales.
- The crucial good and services and at the point of the purchase, and is directed by the consumers and is called as used tax. And includes the manufacturer's sales and wholesales tax and gross receipt and exercise tax and values added tax.
