The after-tax cost of debt is 6.28%. Subtract a company's effective tax rate from one and multiply the difference by its cost of debt to calculate its after-tax cost of debt.
<h3>What is After-tax cost?</h3>
- After-tax cost denotes the actual costs less an amount equal to the combined federal and state income tax savings relating to the deductibility of said costs for federal and state tax purposes in the year in which such costs are incurred.
- WACC represents a company's average after-tax cost of capital from all sources, including common stock, preferred stock, bonds, and other forms of debt.
- WACC is the average interest rate that a company anticipates paying to finance its assets. The pre-tax cost of debt must be tax-affected because interest is tax-deductible, effectively creating a "tax shield" that is, interest expense reduces a company's taxable income (earnings before taxes, or EBT).
Therefore,
The after-tax cost of debt is 6.28%.
FV = -$1,000
PMT = -$100
N = 20 years
PV = $1,098 before including flotation costs; $1,098×(1-.05) = $1,043.10 after including flotation costs.
Compute I/Y = 9.511%
After-tax cost of debt = 9.511%×(1-.34) = 6.28%
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<span> <span />Individuals who were born during the years "immediately" following World War II. </span>
Answer:
$30,000
$20,000
$10,000
Explanation:
Reserves is the total amount of a bank's deposit that is not given out as loans
Reserves = Deposits - outstanding loans
$100,000 - $70,000 = $30,000
Required reserves is the percentage of deposits required of banks to keep as reserves by the central bank
Required reserves = reserve requirement x deposits
0.2 x $100,000 = $20,000
Excess reserves is the difference between reserves and required reserves
$30,000 - $20,000 = $10,000
Answer:
The correct answer is True.
Explanation:
The proper functioning, within the normal standards of a GIS, means that the information can reach the hands of the decision makers. The quality of the information that arrives, is based on other procedures and structures that are previously defined in the organizational strategy, and its processing depends on the specialization and differentiation of the positions within the organization; that is, the data selected and analyzed by the human resources department is different from the information selected and analyzed by other departments such as marketing, for example (differentiation is shown); but on the other hand, the level of analysis and depth that is given to the information will be variable depending on the specialists and the hierarchical levels within the same department; for example, the depth in the analysis of the data of who occupies the position of Human Resources Manager, and who occupies the position of human resources practitioner (specialization is revealed), therefore the experience and degree of specialization for the objectives of the department, are filters for data analysis.
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I’d go with D. all of the above
