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djverab [1.8K]
3 years ago
12

A company has a market capitalization of $20,000,000. It has 30% of its market cap sold under preferred stock and 70%

Business
1 answer:
Kruka [31]3 years ago
6 0

Answer: $6,000,000

Explanation:

Hi, to answer this question we simply have to multiply the total market capital of the company (20,000,000) by the percentage under preferred stock (30%) in decimal form.

Mathematically speaking:

20,000,000 x (30/100) = $6,000,000

Feel free to ask for more if needed or if you did not understand something.  

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The Hype Company's currently outstanding bonds have a 10 percent coupon and a 11 percent yield to maturity. Hype believes it cou
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Answer:

After tax cost of debt is 6.82%

Explanation:

Currently the yield to maturity is the  pre-tax cost of debt for Hype company, however the after tax cost of debt considers that the bonds are tax deductible , its actual is less than the pre-tax cost of debt , hence the after-tax cost of debt is shown below

After tax cost of debt=yield to maturity *(1-tax)

after tax cost of debt=11%*(1-0.38)

after tax cost of debt=11%*0.62

after tax cost of debt =6.82%

This confirms that cost of debt is usually lower than cost of equity , where shareholders would want an extra premium to compensate them for the increased risk taken by investing in the business.

5 0
3 years ago
Identify the major task that must be mastered in early adulthood, according to levinson.
Masteriza [31]
The answer to the question is shown below:

The two major task that must be mastered in early adulthood, according to Levinson are the following:
1. The developing of life structure, a stable life structure
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Many major designers are using metallic studs and spikes in their latest collections. What does this signify to a fashion foreca
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When the output of the collective farms and private plots were compared?
-Dominant- [34]
<span>The private plots were more productive
In collective farms, the land and the operations are mostly owned by the states.
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3 years ago
Tamarisk, inc. has assets of $4393000, common stock of $1077000, and retained earnings of $604000. what are the creditors’ claim
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The given assets = $4393000, common stock = $1077000, retained earnings = $604000, creditor's = ?

libilities = assets

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Hence, creditors' claim on their assets is $2712000.

Still, a car is an assets if it's cheaper than what you paid for it because it's readily available on the market and can be turned into cash. That alone, by definition, makes it an asset. It's these additional costs and constant depreciation that make a car worthless.

Learn more about assets at

brainly.com/question/25821437

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