Answer:
The weight used for common stock in the computation of Team's WACC is 20.35%.
Explanation:
Since par value of a bond is $1,000, we have:
Bond selling price = Bond par value * Selling price percentage = $1,000 * 98.91% = $989.10
the weight used for common stock in the computation of Team's WACC can be calculated as follows:
Value of common stock = Number of shares of common stock outstanding * Common stock price per share = 4,900,000 * $3.90 = $19,110,000
Value of preferred stock = Number of shares of preferred stock outstanding * Preferred stock price per share = 2,900,000 * $15.9 = $46,110,000
Value of bond = Number of bonds * Bond selling price = 29,000 * $989.10 = $28,683,900
Team's total value = Value of common stock + Value of preferred stock + Value of bond = $19,110,000 + $46,110,000 + $28,683,900 = $93,903,900
Therefore, we have:
Weight of common stock = Value of common stock / Team's total value = $19,110,000 / $93,903,900 = 0.2035, or 20.35%
Therefore, the weight used for common stock in the computation of Team's WACC is 20.35%.
QS 8-7 Computing revised depreciation LO C2 On January 1, the Matthews Band pays $65,800 for sound equipment. The band estimates it will use this equipment for four years and after four years it can sell the equipment for $2,000. Matthews Band uses straight-line depreciation but realizes at the start of the second year that this equipment will last only a total of three years. The salvage value is not changed. Compute the revised depreciation for both the second and third years.
Answer:
$23,925 for both the second and third years
Explanation:
Depreciation is the systemic recognition of the cost of an asset in the profit or loss statement. It is an expense.
Depreciation may be computed on a straight line basis as
Depreciation = (cost - salvage value)/estimated useful life
Given that Matthews Band pays $65,800 for sound equipment. The band estimates it will use this equipment for four years and after four years it can sell the equipment for $2,000
Depreciation in the first year of use
= ($65,800 - $2,000)/4
= $15,950
The carrying amount at the start of the second year
= $65,800 - $15,950
= $49,850
Depreciation for the second year and 3rd year after the company realizes that this equipment will last only a total of three years
= ($49,850 - $2,000)/2
= $47,850/2
= $23,925
The first step in creating your personal marketing plan is to conduct a career audit.
Apply the "Evaluate your abilities" step in career audit on yourself including your work (if working), a
specific project you did, your academic progress or any major event(s) on your career path.
Answer:Personal marketing plan 1. Outline your distinctive price proposition. In selling, a press release that addresses distinctive variations between like product is thought as a “value proposition”. Triple-crown sales individuals knowledge to elucidate w
Explanation:
KNK bank receives a deposit of GHS 1,000 and observes a cash ratio of 10%. Assuming there is no cash drain(cashless economy) and all rxcess reserves are pushed into loans. a. what is the maximum amount of money that can be pushed into loans. b. what is the total increase in money supply with the bank?
The maximum amount of money which can be created from the deposit will be GHS 1,000 and the total increase in the money supply with the bank will be GHS 1,000 too.
Money supply has to do with the total amount of money that's in circulation in a particular period of time in an economy.
A) Based on the information given, the maximum amount of money which can be created from the deposit will be GHS 1,000.
B. The total increase in the money supply with the bank will be GHS 1,000. The reason for this is because there were no additional information that was given.
Read related link on:
https://brainly.com/question/3625390
You are the manager of Black Spot Computers, which competes directly with Condensed Computers to sell high-powered computers to businesses. From the two businesses’ perspectives, the two products are indistinguishable. The large investment required to build production facilities prohibits other firms from entering this market, and existing firms operate under the assumption that the rival will hold output constant. The inverse market demand for computers is P = 5,900 − Q, and both firms produce at a marginal cost of $800 per computer. Currently, BlackSpot earns revenues of $4.25 million and profits (net of investment, R&D, and other fixed costs) of $890,000. The engineering department at Black Spot has been steadily working on developing an assembly method that would dramatically reduce the marginal cost of producing these high-powered computers and has found a process that allows it to manufacture each computer at a marginal cost of $500. How will this technological advance impact your production and pricing plans? How will it impact Black Spot’s bottom
Several years ago Doug invested $27,250 in stock. This year he gave his daughter Tina the stock on a day it was valued at $24,500. She promptly sold it for $23,450. Assume Doug is not married and does not support Tina, who is 28.
Required:
a. Determine the amount of the taxable gift.
b. Calculate the amount of taxable gain or loss, if any, for Tina.
Answer:
B
Explanation:
and i thinks it B
The taxable gift is equal to the fair market value of the gift as of the day it was given, less any relevant exclusions or deductions. There are no indications that any limitations or deductions apply in this situation, and the fair market value of the gift is $24,500.
What is fair market value or FMV?The projected value of an asset, if it were sold right now on the open market, is its fair market value (FMV). FMV is frequently used to value property in real estate, but it is also used to establish the fair market value of shares of stock in companies and other financial assets.
The gift's worth at the time it is delivered is the sole factor that counts. Pay attention to the fact that fair market value, which is what a buyer would pay, is different from the cash value, which is the amount an insurance would pay to replace the item. The difference between cash value and fair market value is typically caused by depreciation.
Therefore, the taxable gift is $24,500.
Learn more about fair market value here:
https://brainly.com/question/14002494
#SPJ2
Which of these is true about entrepreneurs? . A. Entrepreneurs are born not made . B. Anyone can start a business . C. Entrepreneurs are gamblers. D. Age is no barrier in entrepreneurship
Answer:
i think it is D
Explanation:
no matter how old you are one can bring up a new business
Henry, a new human resources coordinator, has been asked to calculate the past month's turnover rate. He has divided the number of people who have left the company during that month (11) by the number of employees hired
(10), and then multiplied that by 100. But the number he
has come up with, 110 percent, is way too high and
doesn't make any sense. What should have Henry done
to avoid his error?
He should have multiplied the cost to
terminate by the cost per hire.
He should have multiplied by 10, not 100.
He should have divided the number of
employees hired by the cost to hire them.
He should have divided the number of people
who have left the company by the average
number of employees that month.
Answer:
he should have multiplied by 10, not 100
Explanation:
If the economy is in an expansionary period, appropriate policies to pursue may include: Group of answer choices an income tax cut that shifts the AD curve to the right. consumer investment incentives that shift the AD curve to the right business investment incentives that shift the AD curve to the left. a reduction in government spending that shifts the AD curve to the left.
Answer:
curve to the right business investment incentives
under canadian law, the legal status for the time between a patent application and its granting is referred to as:
Answer:
PATENT VALUATION ACCORDING TO MY POV
chuyển 1 TSCĐ hữu hình thuộc nguồn
NSNN cấp do không đủ tiêu chuẩn chuyển thành CCDC, theo nguyên giá 25.000,
giá trị hao mòn lũy kế: 21.000.
Ngân hàng thương mại có tỷ lệ an toàn vốn tối thiểu là 8% và tỷ suất sinh lời trên tài sản có hằng năm như sau : năm 1998 có ROA là 14.3% , năm 1999 có ROA là 17.0% , năm 2000 có ROA là 15.1% , năm 2001 có ROA là 12.2% , năm 2002 có ROA 9.8%, năm 2003 có ROA là 7.5% , năm 2004 có ROA là 13.8% , năm 2005 có ROA là 13.5% , năm 2006 có ROA là 16.3% , năm 2007 có ROA là 15.7% , năm 2008 có ROA là 15.8% , năm 2009 có ROA là 16.0% , năm 2010 có ROA là 14.9% , năm 2011 có ROA là 14.6% , năm 2012 có ROA là 12.4% . yêu cầu : ước lượng chỉ số Z đánh giá nguy cơ phá sản ?
Answer:
???????
Explanation:
A strategy of related diversification requires most firms to organize around geographical areas or product lines. This type of organizational growth leads to a(n) ________ structure.
Explain why a car is an economic good
Answer:
car is economic good because it help us to transport goods from one place to another and is can used for travelling from one place to another in a short period of time
An economic good is something that requires resources to produce and has a finite supply. Because the resources and labor used to create a car could have been used to create another good or group of goods, cars are considered economic goods.
What makes a good an economic good?A good is referred to as an "economic good" if its demand outweighs its supply and it requires human effort to obtain. Free goods, however, like air, are always available and don't require any conscious effort to obtain.
Through the sale and servicing of automobiles, the auto manufacturing industry contributes $1.1 trillion annually to the economy. This money circulates throughout the economy, paying suppliers of auto parts, paying employees at assembly plants, and giving the government money.
Learn more about an economic good here:
https://brainly.com/question/17428893
#SPJ2
Advantages of the corporate form include all of the following except: A. shares can be purchased in small amounts. B. ownership interests are transferrable. C. easy to raise capital. D. legal liability of its owners is unlimited.
Statement that does not describes Advantages of the corporate form is D: legal liability of its owners is unlimited.
A corporation serves as a business set up whereby the legal entity is been separated from from its owners.Advantages of this setting is that shares can be purchased in small amounts and it allows transfer of ownership interests and it is very easy to raise capital in this setting.Therefore, option D is correct.
Learn more at:
https://brainly.com/question/11810741?referrer=searchResults
PlZ Help 70 points
Look at the circular flow diagram. Choose and define an environmental issue. Using the diagram as a guide, explain how the environmental issue you chose affects the relationship between the business and factor market. (4 points)
Answer:
Family and government are related to each other in terms of financial unit. Family pay charges to government and after that government utilize that cash for the individuals. Family gain the money by working in firms or by running their possess commerce. Natural issues such as discuss contamination can influence the relationship between family and government. Popleuses their possess transport to go to firms and the number of vehicles are expanding day by day which causes discuss contamination. The government can shape arrangements against personal transport and persuade individuals to utilize open transport which can be advantageous for government as government will straightforwardly get cash from family.
please click thanks and mark brainliest if you like :)
Summarise the five (5) types of directors in incorporated companies.
Suppose today you enter a forward contract to buy 1 share of ADM stock in 1 year at a forward price of $30, and today you also buy 1-year Treasury bills with a face value of $30. ADM is not expected to pay a dividend in the next 1 year. Your position has the same payoff in 1 year as:
"Buying today 1 share of ADM itself" is the appropriate response. A further solution is provided below.
According to the question,
Buy 1 share of ADM stock in time,
= 1 year
Forward price,
= $30
Face value,
= $30
We can say that,
→ Buying share today will be:
[tex]= Investing \ in \ 1 \ year \ T-bill+Buying \ forward \ contracts[/tex]
Thus the above is the right solution.
Learn more:
https://brainly.com/question/14702606
Training needs analysis
Answer:
is it a true or false question?
When marginal cost is greater than average cost, average cost must be:_________.
a. rising.
b. falling.
c. constant.
d. The direction of change in marginal cost cannot be determined from this information.
Answer:
A
The average cost will be rising
planning practices are different from organization to organization. do you agree?
explain
Answer:
yes I agree
Explanation:
because different organizations manufacture or provide different goods and services so it's not possible for them to have the same planning practices take for instance an organization that deals with the provision of food to refugees and an organization that deals with the manufacturing of goods these two organizations will plan differently on how to go about with there businesses.
I hope this helps
Ana, a project manager, has been asked to estimate the cost of the project. She wants that cost estimate for the project to be as accurate as possible. Which techniques will she use to accomplish the task?
Answer:
v
Explanation:
Explain how the looting of shops and malls will affect businesses in terms of the relationship between social responsibility and triple bottom line
Social responsibility means an acceptable theory which is applies to everyone, expecting that the act of individual must benefit the whole of society.
Corporate Social Responsibility refers to practices and policies undertaken by firms and other business, who are intending to have a positive influence on the environment and world at large.
Triple bottom line is also a concept that state that in addition to the major objectives of firms which is to make profit, they should ensure they impact the society and environment as well.
The looting of shops and mall will take a toll on the moral effort of firms and businesses adhering to the triple bottom line concept as well as the corporate social responsibility as they have to count on the loss incurred, caused by the masses.
Despite that insurance provision and government can provide compensation for the looted goods, still, the morale of the firms authorities and business owners towards the social responsibility concept and triple bottom line concept will be negative
Learn more about this here https://brainly.com/question/1341005
During year 1 meriwerher construction company started a construction job with a contract price 3,000,000 the job was completed in year 2
Answer Correct Answer = Option ‘C’ $ 350,000= Gross Profit for Year 2 Working for above answer Working Year 1 end Year 2 End A Contract Price $ 3,000,000
HOPE SO IT HELPS YOU
Vincent corporation has 100,00 shares of 100 par common stock outstanding. on june30 ,Vincent corporation declared a 5% stock dividend to be issued on July 30 to stockholders of record july15. the market price of the stock was $132 a share on June 30. journalize the entries required on June 30 and july30
The common stock that is seen here would be $500000
What is the common stock outstanding?This is the term that would simply be used to refer to all of the shares that the shareholders of a company as well as the people that are the insiders in the company would own.
How to solve for the journal entriesThe retained earnings is given as
$132 * 0.05
= $6.6
= 6.6 x 100000
= 660000
The debit is $660000
The credit is 100000 x 5 = 500000
paid in capital in excess of par = 660000 - 500000
= $160000
The stock dividend distributable = $500000
common stock is given as $500000
Read more on the common stock outstanding
https://brainly.com/question/17191357
#SPJ1
Chapeau Company, a U.S. corporation, operates through a branch in Champagnia. The source rules used by Champagnia are identical to those used by the United States. For 2016, Chapeau has $2,000 of gross income, $1,200 from U.S. sources and $800 from sources within Champagnia. The $1,200 of U.S. source income and $700 of the foreign source income are attributable to manufacturing activities in Champagnia (general category income). The remaining $100 of foreign source income is passive category interest income. Chapeau had $500 of expenses other than taxes, all of which are allocated directly to manufacturing income ($200 of which is apportioned to foreign sources). Chapeau paid $150 of income taxes to Champagnia on its manufacturing income. The interest income was subject to a 10 percent withholding tax of $10. Assume the U.S. tax rate is 35 percent. Compute Chapeau’s allowable foreign tax credit in 2016.
From the information given, we learned that Chapeau company (a U.S corporation) is operating another branch in Champagnia. This implies that Chapeau company is operating a branch in a foreign company.
Since tax is going to be imposed on the corporation, It is crucial to consider the foreign tax credit (FTC).
The foreign tax credit (FTC) is a policy designed to help US taxpayers with foreign-source income and earnings to avoid having to pay numerous taxes in several countries. The FTC is restricted to a limit, which is determined by using the formula:
[tex]{\text{FTC limit }= \dfrac{\text{ Foreign source taxable income}}{\text{Total taxable income}}\times \text{ Precredit Us tax }}[/tex]
The FTC as well as its limitations are calculated differently for general category income and the passive category income.
From the question, In 2016:
the total gross income = $2000total expense = $500∴
The total taxable income = Total gross income - the total expense
The total taxable income = $2000 - $500
The total taxable income = $1500
From the given assumption that the tax rate in U.S = 35%
∴
The Precredit U.S tax = Total taxable income × U.S tax rate
The Precredit U.S tax = $1500 × 35%
The Precredit U.S tax = $1500 × 0.35
The Precredit U.S tax = $525
However, from the Total Gross income, we learnt that only $800 was Foreign source income.
Therefore, to compute Chapeau’s allowable foreign tax credit in 2016, we earlier said we are going to calculate it differently based on FTC and its limitations.
To start with General Category income:
Given that:
The total gross income is $700, and;The expense related other than taxes is $200Then;
The General Category foreign taxable income = total gross income - total expense
The General Category foreign taxable income = $700 - $200
The General Category foreign taxable income = $500
As such, the FTC limit is calculated as:
[tex]{\text{FTC limit }= \dfrac{\text{ Foreign source taxable income}}{\text{Total taxable income}}\times \text{ Precredit Us tax }}[/tex]
[tex]{\text{FTC limit }= \dfrac{\text{ \$500}}{\text{\$1500}}\times \text{\$525 }}[/tex]
[tex]{\text{FTC limit }= \dfrac{\text{ \$1}}{\text{\$3}}\times \text{\$525 }}[/tex]
FTC limit = $175
Provided we are being told that Chapeau paid $150 of income taxes to Champagnia(its foreign company) on its manufacturing income, therefore Chapeau will receive the whole amount paid for tax since it is still within the FTC limit as a foreign tax credit.
On the other hand, For Passive category Income:
We are given that the remaining $100 is allocated to the incomeNo expense was allocated for passive category incomeThus, the foreign source taxable income will also be $100
Hence, the FTC limit for this category is calculated as:
[tex]{\text{FTC limit }= \dfrac{\text{ Foreign source taxable income}}{\text{Total taxable income}}\times \text{ Precredit Us tax }}[/tex]
[tex]{\text{FTC limit }= \dfrac{\text{ \$100}}{\text{\$1500}}\times \text{\$525 }}[/tex]
[tex]{\text{FTC limit }= \dfrac{\text{ \$1}}{\text{\$15}}\times \text{\$525 }}[/tex]
FTC limit = $35
From the question, recall that: Chapeau Company paid $10 of the withholding tax to Champagnia (its foreign company), however since the amount is within the $35 FTC limit.
Chapeau Company will receive the total amount paid for tax as a foreign tax credit.
Thus, we can conclude from the above explanations and concepts that the total Chapeau’s allowable foreign tax credit in 2016 is ($150 + $10)
= $160
Learn more about tax here:
https://brainly.com/question/1362871?referrer=searchResults
The Management of XYZ Company Limited uses value chain analysis, supply chain management, inventory b)Identify and explain the type of school of management approach being used in the company.(5marks) management, quality control, queuing theory, linear programming and network models approaches in management of the company. The company relies on scientific applications of mathematical techniques to c)Discuss in four (5) ways, how contingency School of Management is different from the type of school manage problems. a)Briefly explain the typesof management theoriesapplicable in XYZ company Limited. (5marks) of management identified in (ii) above.
a) The school of management that the Management of XYZ Company Limited is applying is called Mathematical or Quantitative School of Management.
The Mathematical or Quantitative School of Management:
Expresses management problems in equations, mathematical symbols, and quantitative models Encourages wide application of computer technology, simulations, and analytics Introduces precision to management thinking and practice
b) The Contingency School, unlike the Mathematical School of Management:
Recognizes that not all management processes can be expressed with mathematical symbols and formulas.Identifies that mathematical models cannot replace sound judgment, which requires intuition and not equation.States that there is no single technique to solving management problems. Encourages managers to use any feasible management technique to solve problems, thereby thinking outside the box. Emphasizes that the applications of management principles and practices (process, behavioral, quantitative, and systems) should be contingent upon the prevailing circumstances.
Thus, with Contingency School, the tools of management thinking and practice should be applied based on prevailing situations and not mathematically with equations, models, and symbols.
Learn more about another School of Management Thought here: https://brainly.com/question/15557968
Ticket prices to a Kanye West concert increase from $40 to $60. As a result, ticket sales decrease from 50,000 to 40,000. The elasticity of demand for Kanye West tickets equals ________ and demand is ________.
Answer:
.4
Inelastic
Explanation:
Elasticity of Demand = |%Change in Demand / %Change in Price|
%Change in Demand= |(40,000 - 50,000)/50,000| = 20%
%Change in Price = |(60 - 40)/40| = 50%
Elasticity of Demand = .2/.5 = .4 or 40%
.4 < 1 so Demand is Inelastic
Ticket prices to a Kanye West concert increase from $40 to $60. As a result, ticket sales decrease from 50,000 to 40,000. The elasticity of demand for Kanye West tickets equals .40 and demand is inelastic.
What makes a product inelastic?The term "inelastic" refers to the static quantity of an item or service while its price fluctuates. Inelastic demand suggests that as prices rise, customers' purchasing habits remain relatively unchanged, and when prices fall, consumers' purchasing habits likewise remain relatively unchanged.
Given
Old Price =$40
New Price = $60
Old Quantity =50,000
New Quantity = 40,000
Required to calculate the elasticity of demand =?
the elasticity of demand = % change in Quantity divide % change in price
% change in Quantity = 50000 - 40000 / 50,0000 = 20%
% change in price = 40 - 60 / 40 = 50%
the elasticity of demand = 20 / 50 = 0.40
The percentage change in quantity demanded divided by the percentage change in price yields the price elasticity of demand. The demand is deemed elastic if the quotient is larger than or equal to one. Demand is termed inelastic if the value is less than one. The elasticity of demand for Kanye West tickets equals .40 and demand is inelastic.
Learn more about inelastic here:
https://brainly.com/question/28192591
#SPJ5
You are the financial manager of the Crossrail 1 project in London. The Board overseeing the project, acting on behalf of the UK Government, has asked you to provide a financial analysis of the project for business planning purposes. With two years to go before the commencement of train operations, you have assembled the most recent estimates of the capital investment cost and net revenues, which were forecast 1 year ago. While the user benefits and ticket revenues are assumed to remain the same each year of the 60-year useful life, it is anticipated that maintenance costs will be higher in the final 30 years of the project. They are shown in Table.
Item of cash flow Today Each year (for the first Each year (for years
(£bn) 30 years) (£bn) 31 to 60) (£bn)
Capital investment -9.4
User benefits (Includes
Time savings, Traffic
congestion relief) 0.843 0.843
Ticket revenues 0.3 0.3
Operational costs and maintenance -0.422 -0.609
For projects such as Crossrail 1, the UK Government typically estimates a 60-year useful life and uses a discount rate of 3.5%.
a) What is the net present value (NPV) of the project?
a. "£15.04".
b. "£8.83".
c. "£7.36".
d. "£16.76".
b) What is the payback period of the project?
a. "13.04".
b. "8.22".
c. "17.60".
d. "7.49".
c) What is the internal rate of return (IRR) of the project?
a. "7.57%".
b. "7.35%".
c. "5.44%".
d. "6.52%".
d) Based on your calculations is Crossrail 1 a viable project at the discount rate?
a. "Yes".
b. "No".
You have been asked by the Board to present an analysis that incorporates more recent cash flow information about the Crossrail 1 project. Before the project becomes operational, the capital investment has been given a worse scenario estimate that is 35% above the forecast in table 1. The Board would like to see the analysis if the net cash inflows will also be 35% below expectation over the 60-year life whether under the existing hurdle rate of 3.5% it would remain viable.
a) What is the net present value (NPV) of the project?
a. "-£2.16".
b. "£4.78".
c. "£3.20".
d. "-£1.80".
b) What is the internal rate of return (IRR) of the project?
a. "2.72%".
b. "3.10%".
c. "1.79%".
d/ "0.67%".
c) Based on your calculations is Crossrail 1 a viable project at the discount rate?
a. "Yes".
b. "No".
Crossrail 1 project is about to start in London.
This project will require an initial investment of 9.4 billion. The project will start earning cash flows from year and it will continue to year 60 which is useful life of the project.
The NPV for the project will be 7.36 which is positive. The correct answer is c.
The payback period for project is 13.04 years which is given in the option a so correct answer is a.
The internal rate of return for the project is b. 7.35 .
Based on our analytics and calculation since NPV is positive so cross rail project is beneficial. The board should consider launching this project.
Learn more at https://brainly.com/question/24353321
Rank the following asserts of a commercial Bank in order of decreasing liquidity. (a) market loans. (b) Reserves with the bank of Ghana. (c) cash. (d) personal loans. (e) sales and repurchase agreements (repos). (f) mortgages. (g) Government bonds (of from one to five years to motuity)
The rankings are as follows;
Cash.Ghana bank.Personal loan.Market loan.Sales and repurchase agreements.Mortgage.Government bonds.We want to help the user to understand the term liquidity before giving the explanation with respect to ranking the following terms:
Liquidity means an asset or security that should be converted into cash without impacting the market price.
Here the most liquids are the ones that could be converted into cash in an easy manner but we have to rank in order of reducing the liquidity.
Cash = more liquid.Ghana bank along with reserves = less than liquid as cash.Personal loan = less liquid.Market loan = less liquid.Sale & repurchase agreements = less liquid.Mortgage = reduce liquidity. Government bonds.We ranked according to high to low liquidity.
Learn more about assets here: brainly.com/question/13848560
Suppose you purchase a $5,000 bond that pays 7% interest annually and matures in five years. If the inflation rate during the next five years is 4%, the estimated real rate of return is
Answer:
2.88%
Explanation:
Use the following formula to calculate the real rate of return
Real rate of return = [tex]\frac{( 1 + Nominal interest rate )}{( 1 + inflation rate)} -1[/tex]
Where
Nominal Interest rate = 7% = 0.07
Inflation rate = 4% = 0.04
Placing values in the formula
Real rate of return = [tex]\frac{( 1 + 0.07 )}{( 1 + 0.04)} -1[/tex]
Real rate of return = [tex]\frac{1.07}{1.04} -1[/tex]
Real rate of return = 1.0288 - 1
Real rate of return = 0.0288
Real rate of return = 2.88%
