Answer:
The weighted average cost of capital is 15.167%
Explanation:
In this question, we are interested in calculating the weighted average cost of capital of the firm.
Weighted average cost of capital = (Weight of debt * cost of debt) + (weight of equity * cost of equity)
Firstly, we shall be calculating the cost of equity.
Mathematically,
cost of equity = Risk free rate + (beta * market risk premium)
From the question, the risk free rate is 3% , equity beta is 2 and the market risk premium is 9%
Inputing these values;
Cost of equity = 3% + (2 * 9%) = 3% + 18% = 21%
Now, we proceed to calculate the after tax cost of debt
Mathematically, after tax cost of debt = Cost of debt ( 1- Tax rate)
From the question, cost of debt = 5%
Tax rate = 30% = 30/100 = 0.3
Plugging these values
After tax cost of debt = 5(1-0.3) = 5(0.7) = 3.5%
Weight of debt = bank debt/(outstanding equity + bank debt) = 5/(5+10) = 5/15
Weight of equity = outstanding equity/(bank debt + outstanding equity) = 10/(5+10) = 10/15
Now, plugging these values into the weighted average cost of capital formula, we have;
(5/15 * 3.5) + (10/15 * 21) = 1.167 + 14 = 15.167%
3. List the possible fees associated with a checking account and describe where you can find out about these fees.
Answer:
Three possible fees associated with a checking account:
ATM fees: they usually applied to ATMs that are for general purpose, or that are not affiliated to your bank.Overdraft fees: they occur when you try to withdraw more money than you have on your account, or when you overspend. They can be avoided by keeping control of how much money you have left.Lost card fee: in case you lose your card and need the bank to issue it again, the bank will likely charge you a fee.
For what purpose are goods and service produced in a socialist economy
Answer: The options are missing from the question,the options are;
A) Profits
B) Their usefulness
C) To create demands
D) To meet all consumer needs.
The correct answer to the question is option D
In a capitalist economy,goods and services are being produced for the sole aim of making profits and to accumulate capital, but when we talk about the SOCIALIST ECONOMY,it differs from the capitalist economy and the sole aim is different.
Socialist economy employs a technique known as usage value in the meeting of the needs and wants of the people, this prevents the over production or under production of goods and services based on their rewards and usage.
In socialist economy,goods are services are produced and those goods and services are made directly accessible to the people that is the masses. A scarce economic resources in a socialist economy are being utilized judiciously inorder to meet the needs of the consumers and make them satisfied in every way possible.
What is “bootstrapping?”
Suppose there are only three people in the economy: jane, harry, and bob. the individual demand for corn for each of these consumers is given in exhibit 3-1. the total quantity demanded of corn if the market price is $5 is ____.
Answer:
$25
Explanation:
Please check the attached image for a diagram of exhibit 3-1
The total quantity demanded can be found by adding the sum of the quantity demanded at $5.
Jane doesn't demand at $5, so her quantity demanded is 0
For Henry it is 8
For Bob, it is 17
Total quantity demanded ia 25
I hope my answer helps you
The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31:
Amount
Sales $ 1,260,000
Selling price per pair of skis $ 450
Variable selling expense per pair of skis $ 50
Variable administrative expense per pair of skis $ 19
Total fixed selling expense $ 155,000
Total fixed administrative expense $ 105,000
Beginning merchandise inventory $ 70,000
Ending merchandise inventory $ 105,000
Merchandise purchases $ 285,000
Required:
1. Prepare a traditional income statement for the quarter ended March 31.
2. Prepare a contribution format income statement for the quarter ended March 31.
3. What was the contribution margin per unit?
Answer:
Refer to the below explanation
Explanation:
1. Traditional income statement.
Revenue $1,260,000
Cost of goods sold = Beginning inventory + purchases - Ending inventory
= $70,000 + $285,000 - $105,000
=$ 250,000
Gross profit= Sales - cost of goods sold
= $1,260,000 - $250,000
=$1,010,000
Administrative expenses = $19 × ($1,260,000/450) + $105,000
= $158,200
Selling expenses = $50 × ($1,260,000/450) + $155,000
=$295,000
EBITDA = $556,800
2. Contribution margin statement
Sales. = $1,260,000
Less
Total Variable cost:
Cost of goods sold =$250,000
Variable selling exp.
2800 × $50=$140,000
Administrative exp.
2800 × $19=$53,200
Total variable cost. =$56,800
Contribution margin =$1,203,200
Less
Total Fixed costs:
Selling expenses =$155,000
Administrative expenses=$105,000
Total fixed cost =$260,000
Net profit. = $943,200
3. Contribution margin per ratio
= Contribution margin / Quantity
=$1,203,200 / 2,800
=$430
Carolina Insurance Company is considering the purchase of a fire insurance company. The fire insurance company has a beta of 2.5. If the risk-free rate is 8 percent and the market risk premium is 6 percent, the required rate of return that should be used to evaluate the insurance company is _____.
Answer: 23%
Explanation:
Given the following :
Risk free rate = 8%
Market risk premium = 6%
Beta value of fore insurance company = 2.5
Required rate of return that should be used in evaluating the company can be calculated thus :
Risk-free rate + [Beta × market risk premium]
8% + [2.5 × 6%]
8% + (15%)
8% + 15%
= 23%
Therefore, the required rate of return that should be used in evaluating the insurance company is 23%.
Why do most businesses fail in their first year?
A. Lack of trained employees B. Lack of planning
C. Poor choice of location
D. Lack of interest
The reason that most businesses fail in their first year is B. Lack of planning.
What is a business plan?A business plan has been defined as is a detailed formal written document, which startups and other businesses use to define their business goals, the methods for attaining those goals (from the marketing, financial, and operational point of view), and the time-frame for their achievement.
It may not be lack of trained employees, poor choice of location, or lack of interest, but it usually starts with lack of planning.
Thus, the reason for business failures in the first year is Option B.
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What should investors consider when planning for their retirement? Check all that apply. -the amount an employer will match for a 401(k) -the contributions an employer will make to an IRA -the ideal age to establish a particular retirement plan -the amount an investor is allowed to contribute annually -the tax laws and breaks related to different retirement plans -the amount that can be withdrawn early without getting taxed
In a 401k the employer usually matches a percentage and if you are lucky dollar for dollar, where in an IRA it is does an an extra option with a set amount of money usually 2500 or more for each IRA contribution.
Correct option is A, C, D and E.
1. The amount an employer will match for a 401(k):- you don't have to forget when you will need the money, retirement is years away, but you have to know what choices will make it worth by the time you need the money back. And it is also important to know really how much you can invest. When you have a large amount more options are available. But using a variety of investments will reduce the risk.
3. The ideal age to establish a particular retirement plan:- that will set you up for the plan you need. Below 50 or older.
4. The amount an investor is allowed to contribute annually, the federal law allows a maximum contribution for participants older than 50.
5. The tax laws and breaks related to different retirement plans:- retirement plans can often give you tax benefits in the present it depends to the one you choose. For example, the payment of the tax on the money deposited in a traditional 401 (k) plan can be delayed until the money is withdrawn from the account.
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Answer:
A,C,D,E
Explanation:
I did it and this was correct.
what are the management training methods
Answer:
Find answers in the explanation below
Explanation:
management training can be defined as a training activity or process that is aimed at improving the individual skills of employees as both a leader and a manager. In doing this, communication among other things is emphasized to enable individuals work in teams as well as have cordial relationships with other workers in a team and as a superior.
Management training methods include on-the-job training, job rotation and job mentoring. All of this methods have its pros and cons.
On-the-job training is a type of training that occurs in the place of work. It helps to brings employees to terms with the environment in which they'd be working. It teaches skills needed to perform a specific task.
Job rotation on the other hand implies the movement of employees between different job areas at certain time intervals to expose them to different aspects of the work environment.
Job mentoring refers simply to the putting through of an employee by a senior colleague or mentor through the process and skills required to perform certain tasks and ocupy certain positions. It mostly a one-on-one training.
Cheers.
What is the “marketing mix?”
Answer:
See below
Explanation:
Short Form:
A mixture of influences that a business can monitor to persuade customers to purchase its goods.
Definition in my own words:
The marketing mix relates to the collection of steps or strategies employed to sell the brand or commodity on the market by an company.
Hope this helps.
In general, ____ parking spaces are easier to maneuver. A. parallel B. straight-in C. hill D. angle
Answer: angle
Explanation:
just took it
Answer:
D
Explanation:
Initial Outlay $ -8,000,000.00 Inflow year 1 1,020,000.00 Inflow year 2 1,850,000.00 Inflow year 3 1,960,000.00 Inflow year 4 2,370,000.00 Inflow year 5 2,550,000.00 WACC
Answer:
The answer is 6.151%
Explanation:
The weighted average cost of capital (WACC) of the project is also the internal rate of return (IRR). The IRR formula is calculated by equating the sum of the present value of future cash flow less the initial investment to zero.
1
The use of a wholesale warehouse in the chain of distribution [Q
Aenables direct selling from manufacturer to retailer.
B.enables production to be ahead of demand.
C. reduces the chain of distribution.
Direduces the cost of goods to consumers.
Answer:
B.enables production to be ahead of demand.
Explanation:
One of the benefits of a wholesale warehouse in the chain of distribution is that it enables production to be ahead of demand.
A warehouse generally represents a large house where goods/products are kept prior to their distribution for sale.
The use of a warehouse offers several advantages to producers. These include:
adequate protection and preservation of productsregular flow of goods irrespective of their period of productioncontinuity in the production process in order to stay ahead of market demandeasy handling of productsetc.Hence, the correct option is B.
Elizabeth's minimum monthly payment on her credit card is the higher of 2.5%
or $12. If her balance at the end of the month is $5800, what is the minimum
amount Elizabeth must pay to keep her account in good standing?
O A. $25
O B. $12
OC. $45
O D. $580
Answer:
$145
Explanation:
Minimum monthly payment at the rate of 2.5%
= 2.5/100 × $5,800
=$145
Between $12 & $145,
$145 is higher hence will be the minimum amount Elizabeth must pay to keep her account in good standing.
Chen is listing questions to help him evaluate his career choice of French language translator. Which question would best help him think critically about his career choice?
Answer:
This question is incomplete, it misses the options. The optiones are the following:
A. Which countries in the world have French as their first language? B. How much will it cost to train for this career choice? C. Which language other than French is beneficial to learn? D. Is translation a career that many people respect?
And the correct answer is the option B: how much will it cost to train for this career choice?
Explanation:
To begin with, the fact that the second question is the one that will best help him in order to think critically about his career choice is that because he needs to now how much will he need in order to learn that career and if the costs will be worth it in the case of choosing it and for that he will need to compare the costs with the approximates benefits that he will have in the future. That is why, Chen needs to questions himself if the costs will be worth it.
Name three operations for which a Department of Human Resources would be responsible.
Answer:
Human resource departments are responsible for activities spanning a wide variety of core functions. In short, human resource activities fall under the following five core functions: staffing, development, compensation, safety and health, and employee and labor relations.
pls help me I need it so pls Help me with this!
Answer:
list things like your goal for that certain class or what grade you want to achieve or what kind of school work you like doing in certain classes
Explanation:
What is savings?, How can you save in a bank? And why is it important?
Explanation:
Savings are the money one has saved, especially through a bank or official scheme.
You can save in a bank by frequently depositing money into a bank account.
Savings are important for the availability of money during emergencies or to avoid going into debt to pay for your necessities.
prove that the points (- 6 - 8) (- 16 12) and( - 26 - 18) are the vertices of an isosceles right angled triangle
Answer:
The answer is "True".
Explanation:
Given points:
[tex]A= (-6,-8)\\B=(-16, 12)\\C=(-26, -18)\\[/tex]
Condition of the right-angle triangle is: [tex]\bold{AC^2= AB^2+BC^2}[/tex]
Formula to find length:
[tex]Length= \sqrt{(x_2-x_1)^2+(y_2-y_1)^2}[/tex]
[tex]AC = (-6,-8)(-26,-18)\\\\x_1= -6 \ \ y_1=-8 \ \ \ and \ \ \ x_2=-26 \ \ y_2=-18\\[/tex]
[tex]\Rightarrow AC= \sqrt{(-26-(-6))^2+(-18-(-8))^2}\\\\\Rightarrow AC= \sqrt{(-26+6))^2+(-18+8))^2}\\\\\Rightarrow AC= \sqrt{(-20))^2+(-10))^2}\\\\\Rightarrow AC= \sqrt{400+100}\\\\\Rightarrow AC= \sqrt{500}\\\\[/tex]
[tex]AB = (-6,-8)(-16,12)\\\\x_1= -6 \ \ y_1=-8 \ \ \ and \ \ \ x_2=-16 \ \ y_2=12\\[/tex]
[tex]\Rightarrow AB= \sqrt{(-16-(-6))^2+(12-(-8))^2}\\\\\Rightarrow AB= \sqrt{(-16+6))^2+(12+8))^2}\\\\\Rightarrow AB= \sqrt{(-10))^2+(20))^2}\\\\\Rightarrow AB= \sqrt{100+400}\\\\\Rightarrow AB= \sqrt{500}\\\\[/tex]
[tex]BC = (-16,12)(-26,-18)\\\\x_1= -16 \ \ y_1=12 \ \ \ and \ \ \ x_2=-26 \ \ y_2=-18\\[/tex]
[tex]\Rightarrow BC= \sqrt{(-26-(-16))^2+(-18-12)^2}\\\\\Rightarrow BC= \sqrt{(-26+16))^2+(-30)^2}\\\\\Rightarrow BC= \sqrt{(-10)^2+(-30)^2}\\\\\Rightarrow BC= \sqrt{100+900}\\\\\Rightarrow BC= \sqrt{1000}\\\\[/tex]
[tex]\Rightarrow {AC^2= AB^2+BC^2}\\\\\Rightarrow (\sqrt{1000})^2= (\sqrt{500+500})^2\\\\\Rightarrow 1000=1000\\[/tex]
The angle is right-angled triangle
Solomon breaches his contract with Neal to purchase the 500 pairs of socks he had promised to buy. Neal is able to sell the 500 pairs to Renny for a much lower amount. Neal then sues Solomon for dam-ages. Neal will be able to recover:a.the amount in the liquidated damages clause.b.the difference between Solomon's contract price and the amount paid by Renny.c.Solomon's contract price.d.an amount which depends on whether Solomon intentionally breached because he found cheaper socks somewhere else.
Answer:
b. the difference between Solomon's contract price and the amount paid by Renny
Explanation:
Neal sues Solomon for damages as Solomon breaches his contract with Neal to purchase the 500 pairs of socks from him. Although he can sell the 500 pairs to Renny even then he was in loss only as he sells socks to Renny at a lower amount then it's actual cost.
In this case, Neal will be able to recover the difference between Solomon's contract price and the amount paid by Renny.
Discuss how a minor change in demand at the retail level can significantly impact supply chain variation at distributors, manufacturers, and suppliers.
Answer:
The changes in the demand do mean that the demand could be increased or decrease for the need for the product and the services by the suppliers.
Explanation:
The minor changes in retail development can cause the bullwhip effect at the entire chain supply. The demand for the forecast at the retail level does not seem accurate always.
Thus all the organizations used some safety tools for some of the stock because of the fluctuation in the demand of the product. When demands get fluctuate, the capabilities of the safety stock that is reserved for the distributors to get offset to the manufacturer.
This burden is shared with the suppliers. But at each stage of the process, the demand exponentially increased.
A minor change in demand at the retail level can significantly impact
supply chain variation at distributors, manufacturers, and suppliers.
The number of goods produced by industries are as a result of the market
survey ,speculations and demand .
When there is a change such as low demand then the goods produced will
be reduced to avoid spoilage and when demand increases, goods produced also increases.
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Brian is studying the lml process. He is learning about the connection between the brain and mind and is conceptualizing it in a specific sequence. The correct sequence is
Correct/Complete Question:
Brian is studying the LML Process. He is learning about the connection between the brain and mind and is conceptualizing it in a specific sequence. The correct sequence is __________.
A. mind, brain–mind interface, stimuli, brain
B. stimuli, brain–mind interface, brain, mind
C. brain–mind interface, stimuli, mind
D. stimuli, brain, brain–mind interface, mind
Answer:
D. stimuli, brain, brain–mind interface, mind
Explanation:
The LML process, abbreviation for the Let Me Learn process is a learning process that suggests how learning stimuli pass through filters as the stimuli moves from the brain to the mind.
The sifting of this stimuli gives rise to the functions that are known as Patterns of Operation. This refers to the mode and way through which we learn and do things.
According to the question, the correct sequence for the conceptualization of the connection between the brain and mind is stimuli to brain to brain-mind interface to mind.
This means that when humans are learning, the first thing is registering the new thing as stimuli and passing it to the brain; thereafter which it is passed to the brain-mind interface and finally the mind where it sticks.
Cheers.
Who sets the price in a monopolistic competition?
Producers and consumers
Consumers only
Government
Producers only
Answer:
Consumers and producers
Explanation:
so A on edg 2021
The Producers and consumers set the price in a monopolistic competition.
What is a monopolistic competition?This is a competition that occurs in the market place due to the fact that there are a lot of firms offering similar products that are not identical.
In this type of market the price setting is done by those that consume the products and the product makers.
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The Upper Tier has a current debt-equity ratio of .52 and a target debt-equity ratio of .45. The cost of floating equity is 9.5 percent and the flotation cost of debt is 6.6 percent. What should the firm use as their weighted average flotation cost?
Answer: 8.60%
Explanation:
Given the following :
Current debt-equity ratio = 0.52
Target debt-equity ratio = 0.45
Cost of floating equity = 9.5%
Floatation cost of debt = 6.6%
The Weighted average cost is calculated by finding the Weighted average cost of both debt and equity.
1 + 0.45 = 1.45
Weight of debt= 0.45/ 1.45 =0.31034
Weight * cost of debt
0.31034 × 6.6% = 2.0482758
Weight of equity = 1/1.45 = 0.6896551
Weight * cost of equity
0.6896551 × 9.5% = 6.5517241
Sum of both
(6.55 + 2.05) % = 8.60%
On January 1, $500,000 of 8%, 10-year bonds were sold for $530,000. The bonds require semiannual interest payments on June 30 and December 31. What's the correct entry for recording the June 30 interest payment on the bonds?
Answer and Explanation:
The journal entry is given below:
Date Accounting & Explanation Debit ($) Credit ($)
30th June Expenses account interest 18,500
Amortization of the bonus
premium due will be:
[tex](\frac{30000}{20} )[/tex] 1,500
Accounts cash:
[tex](500000\times 8 \ percent\times \frac{6}{12})[/tex] 20,000
HELP!!
Which of these is defined by a general rise in the prices of goods and services
over a specific time?
A. Inflation
B. Recession
C. Disinflation
D. Stagnation
Answer:
A
Explanation:
Inflation is the rate of increase in price over the given time period. When the price of good, energy, fuel, commodities and other good and service rise it will affect the entire economy of any state.
ELO Corporation purchased a patent for $135,000 on September 1, 2019. It had a useful life of 10 years. On January 1, 2021, ELO spent $33,000 to successfully defend the patent in a lawsuit. ELO feels that as of that date, the remaining useful life is 5 years. What amount should be reported for patent amortization expense for 2021
Answer: $30,000
Explanation:
Amortization from September 1, 2019 - January 1, 2021 :
September 1, - december 31 = 4/12 = 0.333333
(1 + 0.333333) × (135000 × 10) = $18,000
Value left before patent defense :
$(135,000 - 18,000) = $117,000
Amount reported for patent amortization expense 2021:
$(117,000 + 33,000) ÷ 5
$150,000 ÷ 5 = $30,000
En algunos países es obligatorio que los automóviles de determinado consumo sean aptos para surtirse de gasolina sin plomo..." ¿Qué secuencia de hechos viene inmediatamente después de ésta?
Explanation:
Como el plomo es altamente contaminante la union europea establecio algunas leyes para que no se siguiera permitiendo el uso de gasolina con plomo, pero tendria que hacersen algunos cambios en cuanto a la constitucion de algunos automoviles,y en sus catalizadores,pero todo ello depende de la gama del vehiculo,el modelo y el motor,,por lo tanto los vehiculos que se utilicen para determinado consumo deben cumplir con los requisitos previos para funcionar de acuerdo con la norma de gasolina sin plomo,pues de no acatar las normas establecidas,podrian ser sancionados.
which of the following is NOT on a credit report
Late medical payments
Repayment history
Buying habits
Public records
Answer: The correct answer to the question is option C
BUYING HABITS.
To effectively answer the question,let's look at the definition of credit report and the options given..
A credit report is simply a record that is reported by one's lenders and creditors to the credit agency.they contains one's personal information, public records, credit enquires and credit account history.
LATE MEDICAL PAYMENT, REPAYMENT HISTORY AND PUBLIC RECORDS all has to do with credit
bureaus while buying habit doesn't have anything to do with credit bureaus rather it is when an individual or consumer purchases a particular type or brand of product concurrently without a change in another brand of the same product.it is mostly as a result of the satisfaction the individual gets from that brand of product.
How can a good credit score help you?
