We must first determine the new market value of the company following the financing and buyback of equity in order to determine the weight in equity and the weight in debt following the planned financing and repurchase of stock.
The following formula can be used to determine the firm's market value following the financing:
Market value of the company is equal to the sum of its equity and debt.
The company's new market worth is $400,000 - $225,000, or $175,000
We may assume that the total quantity of equity remains at $400,000 since the company is utilizing the money from the sale of debt to repurchase outstanding shares.
As a result, the weight in equity following the suggested financing and stock repurchase may be estimated as follows:
Weight in equity = Market value of equity / New market value of the firm
Weight in equity = $400,000 / $175,000
Weight in equity = 2.29 or 229%
The weight in debt after the proposed financing and repurchase of equity can be calculated as:
Weight in debt = Market value of debt / New market value of the firm
Weight in debt = $225,000 / $175,000
Weight in debt = 1.29 or 129%
It's worth noting that the weights calculated above do not add up to 100% due to the fact that the market value of equity exceeds the new market value of the firm.
To know more about financing-
brainly.com/question/29493385
#SPJ4
the economy of franklandia has invested in research and development of new technologies and production methods. in the long run, how would this be illustrated on the as/ad model?
The investment in research and development in Franklandia's economy would be illustrated in the AS/AD model by a rightward shift of the Aggregate Supply curve, representing increased potential output and economic growth in the long run.
In the long run, investing in research and development of new technologies and production methods would be illustrated on the AS/AD model by a rightward shift in the Aggregate Supply (AS) curve.
1. The student question mentions that the economy of Franklandia has invested in research and development of new technologies and production methods. This investment is expected to increase productivity and efficiency in the long run.
2. The AS/AD model is a macroeconomic model that represents the relationship between Aggregate Supply (AS) and Aggregate Demand (AD) in an economy. The AS curve shows the total quantity of goods and services that firms are willing and able to produce at various price levels, while the AD curve represents the total demand for goods and services in the economy.
3. An increase in productivity and efficiency due to the investment in research and development would result in a higher potential output for the same amount of input. In other words, firms can now produce more goods and services with the same resources.
4. This improvement in productivity and efficiency shifts the AS curve to the right, representing an increase in the potential output of the economy at various price levels.
5. In the long run, this rightward shift in the AS curve would lead to higher economic growth and lower unemployment, as firms are able to produce more goods and services to meet the demand in the economy.
For more such questions on investment
https://brainly.com/question/27717275
#SPJ11
This format focuses on an applicant’s work experience and education: a. chronologicalb. functional c. skills d. electronic
The correct option is a. The format that focuses on an applicant's work experience and education is called the chronological format.
This type of resume lists a candidate's employment and educational history in reverse chronological order, starting with the most recent position.
It highlights the candidate's career progression and growth, and is often preferred by employers who want to see a clear and consistent work history.
The functional format, on the other hand, emphasizes the candidate's skills and abilities rather than their work history. This format is often used by career changers or individuals with gaps in their employment history.
The electronic format refers to resumes that are created and submitted online, using digital tools and platforms.
Therefore, the correct option is a..
For more question on chronological format.
https://brainly.com/question/31210196
#SPJ11
nour has identified future staffing needs and is now comparing those to internal supply. what is nour hoping to determine by making this comparison?
Nour is likely hoping to determine whether the current workforce within the organization is sufficient to meet future staffing needs, or whether additional hiring or training may be necessary.
By comparing future staffing needs to internal supply, Nour can assess whether the organization has the necessary talent, skills, and knowledge to achieve its strategic objectives. If there is a shortfall in internal supply, Nour may need to consider recruiting new employees or investing in training and development programs to fill the gap. Conversely, if there is an excess of internal supply, Nour may need to evaluate whether there are opportunities to redeploy or retrain existing staff to meet changing business needs.
Ultimately, the goal of this exercise is to ensure that the organization has the right people with the right skills in the right positions to achieve its goals effectively and efficiently.
To know more about staffing Here
https://brainly.com/question/25112935
#SPJ4
when thinking about constructing cash flows, which scenario is not an opportunity cost that should be accounted for?
When thinking about constructing cash flow, cost of renting the building you are already working in is not an opportunity cost that should be accounted for.
Opportunity costs are the potential benefits that are foregone when choosing one alternative over another. When constructing cash flows for a project, it's essential to include all relevant opportunity costs that could arise from the project.
However, the cost of renting a building that the company is already working out of is not an opportunity cost as it is already an ongoing expense that the company is already incurring. Therefore, it should not be considered as an opportunity cost when evaluating the feasibility of the project.
To know more about cash flow, click here.
https://brainly.com/question/29768594
#SPJ4
suppose that the economy is at full employment (our economy has reached its potential gdp or the maximum that we can normally produce). now suppose that a world recession occurs (it decreases our exports). which problem would we choose to combat? the decreased gdp the inflation we could choose to combat the decreased gdp or the inflation none of the answers is correct
If the economy is at full employment and a world recession occurs which decreases our exports, then the problem that we would choose to combat would be the decreased GDP.
This is because the decrease in exports would lead to a decrease in overall economic activity, which could cause a decline in GDP. Inflation, on the other hand, is typically caused by excessive demand relative to supply, and in the scenario described, the decreased exports would likely lead to a decrease in demand, which would mitigate any inflationary pressures. Therefore, the most pressing issue in this scenario would be the decrease in GDP.
Learn more about GDP
https://brainly.com/question/31197617
#SPJ4
given the following market values of stocks in your portfolio and their expected rates of return, what is the expected rate of return for your common stock portfolio? stock market value ($ mil.) e(ri) disney $15,000 0.16 starbucks $17,000 -0.05 harley davidson $35,000 0.19 intel $25,000 0.17 walgreens $7,000 0.14 do not round intermediate calculations. round your answer to three decimal places.
The expected rate of return for the common stock portfolio in three decimal places is ≈ 0.136.
To calculate the expected rate of return for your common stock portfolio, you need to use the weighted average method, where the weight of each stock is based on its market value.
Calculate the total market value of the portfolio by summing up the market values of each stock:
Total market value = $15,000 (Disney) + $17,000 (Starbucks) + $35,000 (Harley Davidson) + $25,000 (Intel) + $7,000 (Walgreens) = $99,000Determine the weight of each stock in the portfolio by dividing its market value by the total market value:
Disney: $15,000 / $99,000 = 0.1515Starbucks: $17,000 / $99,000 = 0.1717Harley Davidson: $35,000 / $99,000 = 0.3535Intel: $25,000 / $99,000 = 0.2525Walgreens: $7,000 / $99,000 = 0.0707Calculate the weighted rate of return for each stock by multiplying its weight by its expected rate of return:
Disney: 0.1515 × 0.16 = 0.02424Starbucks: 0.1717 × (-0.05) = -0.008585Harley Davidson: 0.3535 × 0.19 = 0.067165Intel: 0.2525 × 0.17 = 0.042925Walgreens: 0.0707 × 0.14 = 0.009899Calculate the expected rate of return for the common stock portfolio by summing up the weighted rates of return:
Expected rate of return = 0.02424 - 0.008585 + 0.067165 + 0.042925 + 0.009899 = 0.135644Round your answer to three decimal places:
Expected rate of return ≈ 0.136Learn more about the rate of return at https://brainly.com/question/17164328
#SPJ11
ge sells its large appliances directly to home and apartment builders but uses retail stores like lowe's to sell to consumers, in a strategy known as blank . multiple choice question.
GE sells its large appliances directly to home and apartment builders but uses retail stores like Lowe's to sell to consumer, in a strategy known as Multi-channel marketing.
Multi-channel marketing strategy helps the company target different customer segments, providing them with different options for purchasing their products. With this strategy, GE is able to increase its reach and maximize its profits.
It also allows GE to tailor its marketing messages to different target audiences, allowing it to better communicate its value proposition and build trust with its customers.
Additionally, multi-channel marketing helps GE to track customer behavior, allowing it to better understand customer preferences and create more effective campaigns. Finally, multi-channel marketing helps GE to better measure the effectiveness of its campaigns, allowing it to optimize its efforts.
To learn more about Multi-channel marketing link is here
brainly.com/question/27187455
#SPJ4
The complete question is:
GE sells its large appliances directly to home and apartment builders but uses retail stores like Lowe's to sell to consumer, in a strategy known as _______ .
the components (principles) of critical chain project management include which of the following? a. estimate activity durations generously b. avoid multi-tasking. c. add a comfortable buffer to every project activity d. adhere strictly to completion deadlines - rather than finishing early or late.
The components, or principles, of critical chain project management include: a) estimate activity durations generously, b) avoid multi-tasking, c) add a comfortable buffer to every project activity, d) adhere strictly to completion deadlines.
a) Estimate activity durations generously: This involves providing a generous estimation of the time required to complete each project activity to account for potential uncertainties and unexpected delays.
b) Avoid multi-tasking: This principle involves focusing on completing one task at a time to minimize distractions and maximize productivity.
c) Add a comfortable buffer to every project activity: This involves adding a buffer or extra time to each activity to account for potential delays, uncertainties, and unexpected issues that may arise during the project's execution.
d) Adhere strictly to completion deadlines - rather than finishing early or late: This principle involves ensuring that all project activities are completed on or before their respective deadlines, without compromising quality or taking shortcuts.
Critical chain project management aims to improve project delivery by addressing common project management challenges such as uncertainty, delay, and resource constraints. By implementing these principles, project managers can better plan and execute projects, minimize risks, and ensure timely completion within budget constraints.
Learn more about management here:
https://brainly.com/question/29023210
#SPJ4
who wants affordable housing in their backyard? an equilibrium analysis of low income property development response
The demand for affordable housing is typically driven by individuals and families with lower incomes who cannot afford market-rate housing. It is likely that low-income individuals and families would be the ones most interested in having affordable housing in their backyard.
Affordable housing refers to residential properties that are available to individuals and families whose income falls below a certain level, making it difficult for them to afford market-rate housing. The definition of "affordable" varies depending on the local median income and other factors, but generally, it is defined as housing that costs no more than 30% of a household's income.
Affordable housing may be subsidized by the government or provided by non-profit organizations, and can take many forms, such as apartments, townhouses, and single-family homes. It is intended to address the issue of housing insecurity and ensure that everyone has access to safe and decent housing. It also helps to promote socio-economic diversity in communities and reduce the negative impacts of gentrification and displacement.
To learn more about Affordable housing visit here:
brainly.com/question/30768938
#SPJ4
which is a form of fiat money that is commonly used today? responses credit cards credit cards commodity money commodity money digital money digital money nonperishable money
Digital money, such as cryptocurrencies and electronic payment systems, is the most commonly used form of fiat money today
Fiat money is a currency that has no intrinsic value and is not backed by a physical commodity like gold or silver. It relies on the trust of the government that issues it and its ability to maintain its value through economic stability and monetary policy. Today, digital money has become the most common form of fiat money as it allows for easy and secure transactions through electronic payment systems.
Credit cards and cryptocurrencies are examples of digital money that have become increasingly popular. Commodity money, which is based on the intrinsic value of a physical commodity, is less commonly used in modern economies.
Learn more about Digital money here
brainly.com/question/10482011
#SPJ4
question number 5) if amazon were to open gas stations, it stands to reduce or cut out the share of existing channel intermediaries--a process known as .
The process known as the reduction or elimination of existing channel intermediaries is called disintermediation.
In the context of the question, if Amazon were to open gas stations, it could potentially reduce or eliminate the need for intermediaries such as gas station owners, distributors, or suppliers. By owning and operating their own gas stations, Amazon would have direct control over the supply chain and could potentially offer lower prices to customers by cutting out the middlemen. This is an example of disintermediation in the retail industry, where companies seek to streamline the supply chain and reduce costs by eliminating intermediaries.
To know more about disintermediations Here
https://brainly.com/question/15571297
#SPJ4
discuss two important economic behaviors of a monopoly, which are different from economic behaviors of firms in a competitive market
Two important economic behaviors of a monopoly, which are different from economic behaviors of firms in a competitive market are consumers have no substitutes and it has the first-mover advantage.
A market is said to be monopolistic if just one business is allowed to sell goods and services to the general public. A totally competitive market, where there are an infinite number of enterprises operating, is the antithesis of a monopolistic market.
In a truly monopolistic model, the monopoly firm can limit output, raise prices, and make long-term profits that are above average. The model for monopolistic competition is challenging or impossible to recreate in the real economy, similar to the model for perfect competition. Real monopolies are frequently the result of anti-competition laws.
Know more about monopoly here
https://brainly.com/question/29765560
#SPJ4
when a tax is placed on the sellers of a product, generally, buyers pay group of answer choices more, and sellers receive more than they did before the tax. more, and sellers receive less than they did before the tax. less, and sellers receive more than they did before the tax. less, and sellers receive less than they did before the tax.
When a tax is placed on the sellers of a product, generally, buyers pay more, and sellers receive less than they did before the tax. The correct option is less, and sellers receive less than they did before the tax.
Taxes have a huge impact on both sellers and buyers of a product. There are two primary ways that a tax can be imposed: on the seller or on the buyer.When the tax is levied on the seller, the seller would have to bear the cost of the tax. The seller's cost will rise, and they will, therefore, charge a higher price. As a result, the consumer will be forced to pay more for the product or service.In this case, the amount received by the seller after tax is less than the amount received before tax. However, the buyer will pay more than they were before the tax. So, the buyers pay more, and sellers receive less than they did before the tax.\
Know more about tax here;
https://brainly.com/question/16423331
#SPJ11
consider miray's decision to go to college. if she goes to college, she will spend $24,000 on tuition, $12,000 on room and board, and $1,900 on books. if she does not go to college, she will earn $16,000 working in a store and spend $8,000 on room and board. miray's cost of going to college is group of answer choices
Miray's cost of going to college is $29,900 keeping in mind her potential earnings.
To calculate Miray's cost of going to college, we should consider both her expenses if she goes to college and her potential earnings if she doesn't.
Step 1: Calculate the total expenses if she goes to college:
Tuition: $24,000
Room and board: $12,000
Books: $1,900
Total expenses: $24,000 + $12,000 + $1,900 = $37,900
Step 2: Calculate the net income if she doesn't go to college:
Earnings from working in a store: $16,000
Room and board: -$8,000 (expense)
Net income: $16,000 - $8,000 = $8,000
Step 3: Calculate Miray's cost of going to college:
Total expenses (from Step 1): $37,900
Net income if she doesn't go to college (from Step 2): $8,000
Miray's cost: $37,900 - $8,000 = $29,900
Miray's cost of going to college is $29,900, considering both her expenses if she attends college and her potential earnings if she doesn't.
To know more about potential earnings, visit:
https://brainly.com/question/29644125#
#SPJ11
assume that papau new guinea has a domestic investment of $1500 billion, private domestic savings of $3000 billion, and a government deficit of $ 4000 billion. based on the national saving and investment identity, what is papau new guinea's trade deficit if government spending rises by $1000 billion? enter your answer in billions of dollars.
There are $1500 billion in domestic investments, $3000 billion in domestic private savings, and a $4000 billion government deficit in Papau New Guinea. on the basis of national saving and investment. The answer is $1500.
A domestic investment of $1500 billion, private domestic savings of $3000 billion, and a government deficit of $ 4000.
Invested domestically = $1500 billion
Domestic private savings = $3 trillion.
Deficiency in government = $2 trillion
Increasing government expenditure = $1 trillion
Trade deficit now = domestic investment - Domestic private savings - Governmental savings as well
Overall government deficits
are $2,000 plus $1,000, or $3,000; government savings are $3,000 less than total government deficits.
As the government deficit is already 3000 billion,
and would expand to 4000 billion
if spending rises by another 1000 billion, the trade deficit is equal to 1,500 - 3,003 - (- 3,003) or 1,500.
To know more about Investment visit:
https://brainly.com/question/30392179
#SPJ4
at year end, curlz, incorporated's inventory consists of 210 bottles of cleanz at $2 per bottle and 110 boxes of dyez at $8 per box. market values are $2.10 per bottle for cleanz and $6 per box for dyez. curlz should report its inventory at:
Under the lower of cost or market (LCM) rule, which is a generally accepted accounting principle (GAAP) used for inventory valuation, Curlz, Incorporated should report its inventory at the lower of cost or market value for each item.
For Cleanz, the market value of $2.10 per bottle is lower than the cost of $2 per bottle, so the inventory should be reported at the market value of $2.10 per bottle. This results in an inventory value of $441 (210 bottles x $2.10 per bottle).
For Dyez, the market value of $6 per box is lower than the cost of $8 per box, so the inventory should be reported at the market value of $6 per box. This results in an inventory value of $660 (110 boxes x $6 per box).
Therefore, Curlz, Incorporated should report its inventory at a total value of $1,101 ($441 + $660), which reflects the lower of cost or market value for each item.
To know more about valuation click here
brainly.com/question/16008101
#SPJ4
if the real interest rate is expected to become negative, then the purchasing power of savings would be , as the inflation rate is expected to be
When the real interest rate is expected to become negative, the purchasing power of savings would decrease due to inflation eroding the value of money over time.
If the real interest rate is expected to become negative, it means that the nominal interest rate is lower than the expected inflation rate. In this scenario, the purchasing power of savings would decrease, as inflation would erode the value of money over time.
For example, if the nominal interest rate is 2% and the expected inflation rate is 3%, then the real interest rate would be -1%. This means that even though a person's savings may earn 2% interest, the inflation rate would reduce the purchasing power of their savings by 3%, resulting in a net loss of 1%.
In summary, when the real interest rate is negative, the inflation rate erodes the value of money faster than the interest rate can compensate for it, leading to a decrease in the purchasing power of savings.
Learn more about inflation eroding here
brainly.com/question/16768696
#SPJ4
shoe-leather costs are the: question 14 options: increased cost of transactions due to inflation. effect of inflation on the prices of food, clothes, and other necessities. effect of inflation on transportation costs. high price of leather goods.
Shoe-leather costs are the increased cost of transactions due to inflation.
Shoe-leather costs refer to the additional costs that individuals and businesses incur as a result of holding less cash during times of inflation. During inflation, the purchasing power of money decreases, so people need to go to the bank more frequently to withdraw cash. This increased frequency of trips to the bank is referred to as "shoe-leather costs" because it is similar to the additional wear and tear on shoes caused by walking more frequently.
Shoe-leather costs are one of the costs of inflation and can be considered a type of transaction cost. Other examples of transaction costs include menu costs, which are the costs associated with changing prices to keep up with inflation, and search costs, which are the costs associated with finding the best prices when inflation makes prices more volatile.
To know more about transactions , here
https://brainly.com/question/1016861
#SPJ4
due to increased incomes, europeans buy more u.s. goods and services. after reading the above scenario, what is most likely to happen to gdp and what component of the expenditure approach will it change?
When due to increased incomes, Europeans buy more US goods and services, the most likely impact on GDP would be an increase in GDP and it would change the component of the expenditure approach called exports.
What is GDP?Gross Domestic Product (GDP) is a fundamental economic indicator that measures the economic output of a country. It is the monetary value of all the goods and services produced by a country over a specific period.
It is an essential tool for understanding the economy of a country.When Europeans buy more US goods and services, it means the demand for the US products increases.
Consequently, the demand for American-made products also increases. This increase in demand leads to an increase in production. When production increases, there is an increase in the number of jobs available, leading to an increase in the income of the people involved, leading to an increase in the country's GDP.
GDP is calculated using various approaches, one of which is the expenditure approach. The expenditure approach measures the gross domestic product by considering the total amount of goods and services purchased by the people, the government, the business, and the foreign sector.
The increase in exports will lead to an increase in the GDP and will change the component of the expenditure approach known as exports.
Learn more about GDP at
https://brainly.com/question/5190101
#SPJ11
a (n) is any good or service that satisfies wants, along with its perceived attributes and benefits.
A product is any good or service that satisfies wants, along with its perceived attributes and benefits.
A product can be defined as a good or service that satisfies the wants, needs, or desires of customers. It can take various forms, such as physical goods, services, experiences, events, or even ideas. A product is not just the physical object or service being offered, but also includes the perceived attributes and benefits associated with it, as perceived by the customers.
Perceived attributes refer to the characteristics of a product that customers use to evaluate and compare it with other products in the market. These can include factors such as quality, design, functionality, reliability, and packaging, among others. The perceived attributes of a product can vary from customer to customer and can be influenced by various factors such as cultural and social norms, personal preferences, and marketing efforts.
Benefits, on the other hand, refer to the positive outcomes or advantages that customers expect to receive from using or consuming the product. These can include benefits such as convenience, affordability, reliability, and emotional satisfaction, among others. Benefits are often intangible and may be difficult to measure or quantify, but they are important in influencing the customer's decision to purchase a product.
Learn more about Benefits here: https://brainly.com/question/30266684
#SPJ11
the two changes of the legal-institutional environment that will shift the aggregate supply curve are . multiple choice question. subsidies and prices of imported resources taxes and government regulations taxes and productivity input prices and productivity
Two of the changes of the legal institutional environment which can shift the aggregate supply curve are the taxes as well as the government regulations.
The correct option is option b.
Aggregate supply, which is also called the total output is basically the total supply of goods as well as the services which are produced within a given economy at a particular overall price during a given period. It gets represented using the aggregate supply curve, which happens to describe the relationship which exists between price levels as well as the quantity of output that the firms are willing to provide.
Usually, there is a positive relationship which exists between the aggregate supply as well as the price level. Taxes and the government regulations are basically the two changes which can shift the curve.
Hence, the correct option is option b.
To know more about aggregate supply curve
https://brainly.com/question/14020407
#SPJ4
maintenance that pertains to the general upkeep of the property, recurs on a regular basis, and requires minimal training is referred to as:
The maintenance that pertains to the general upkeep of the property, recurs on a regular basis, and requires minimal training is referred to as routine maintenance.
In general , Routine maintenance is important to ensure that the property remains in good working order and to prevent larger, more expensive repairs from becoming necessary in the future. It also helps to maintain the value of the property over time.
This includes tasks such as cleaning, painting, mowing the lawn, replacing light bulbs, and other small repairs that help keep the property in good condition other Examples of routine maintenance may include cleaning, lubrication, filter replacement, and other simple tasks that help ensure the proper functioning of equipment or property.
To learn more about Routine maintenance , here
brainly.com/question/29768490
#SPJ4
when the money supply and the demand for goods increase at the same time: group of answer choices producers understand how to react, but consumers are confused. consumers act rationally, but producers cannot read the market signals. the government is able to clarify how the markets will be affected. both consumers and producers can often become confused.
When the money supply and the demand for goods increase at the same time, both consumers and producers can often become confused.
When the money supply and the demand for goods increase at the same time, it can lead to confusion among both consumers and producers. This is because an increase in the money supply means that there is more money available in the economy. With more money available, consumers are likely to spend more on goods and services, which in turn drives up demand. Producers may interpret this increase in demand as a sign that they should increase production.
However, an increase in demand can also lead to an increase in prices. If producers increase production too much, they may end up flooding the market with goods and lowering the price. This can ultimately result in a decrease in profits. On the other hand, if producers do not increase production enough, they may miss out on potential profits due to unmet demand. Consumers may also become confused in this situation because an increase in demand can lead to an increase in prices.
If prices increase too much, consumers may not be able to afford the goods they want. This can lead to a decrease in demand and ultimately hurt producers' profits. Therefore, when the money supply and the demand for goods increase at the same time, it can be difficult for both consumers and producers to determine the best course of action.
You can learn more about supply and demand at
https://brainly.com/question/1222851
#SPJ11
ross textiles wishes to measure its cost of common stock equity. the firm's stock is currently selling for $70.67. the first just recently paid a dividend of $4, and future dividends are expected to increase by 6% a year. after flotation costs, the firm expects to net $69 per share on a new issue. calculate its cost of common equity with and without flotation costs.
Ross Textiles' cost of common equity with flotation costs is 11.97%, while without flotation costs are 12%.
To calculate the cost of common stock equity, we will use the Dividend Growth Model formula:
[tex]$$r_{s}= \frac{D_{1}}{P_{0}}+g$$$$[/tex]Where D1 is the dividend expected next year, P0 is the current stock price, and g is the growth rate of dividends.
First, let's calculate the dividend expected next year (D1):
D1 = D0 × (1 + g) = $4 × (1 + 6%) = $4 × 1.06 = $4.24Now, we will calculate the cost of common equity without flotation costs. We will use the current stock price (P0 = $70.67).
[tex]$$r_{s}[/tex] without flotation = \frac{D_{1}}{P_{0}}+g$$$$[/tex]= ($4.24 / $70.67) + 6%[tex]$$r_{s}= \frac{\$4.24}{\$70.67}+ \$6$$$$[/tex] = 0.06 + 0.06 = 0.12 or 12%Next, we will calculate the cost of common equity with flotation costs. We will use the net stock price after flotation costs (P0 = $69).
[tex]$$r_{s}[/tex] with flotation = [tex]$$r_{s}= \frac{D_{1}}{P_{0}}+g$$$$[/tex][tex]$$r_{s}= \frac{\$4.24}{\$69}+ \$6$$$$[/tex]= 0.0614 + 0.06 = 0.1214 or 12.14%So, Ross Textiles' cost of common equity without flotation costs is 12% and with flotation costs are 12.14%.
Learn more about common equity at https://brainly.com/question/17147773
#SPJ11
for business recruiters, which three of the following countries are generally considered the most valuable for a study-abroad experience? multiple select question. the united kingdom china brazil india
For business recruiters, the United Kingdom, China, and India are generally considered the most valuable countries for a study-abroad experience.
These countries offer significant opportunities for students to gain global exposure, learn about diverse business practices, and build professional networks. The United Kingdom is a major financial hub, providing access to European markets and influential business leaders.
China, as the world's second-largest economy, offers insights into its rapid growth, manufacturing prowess, and unique business culture. India, another emerging economic power, presents opportunities to learn about its thriving technology and service industries.
By studying in these countries, students can enhance their understanding of global business trends and develop valuable skills, making them more attractive to business recruiters.
To know more about European markets click on below link:
https://brainly.com/question/11336776#
#SPJ11
sooner motors inc. has a 11% required rate of return. the firm does not expect to initiate dividends for 10 years, at which time it will start paying dividend every year. at that time, an estimate of the firms' price will be $40. what is the firm's current stock price?
Based on the assumptions we made, the current stock price of Sooner Motors Inc. is approximately $50.27. However, it's important to note that this is just an estimate and the actual stock price could be different depending on the actual growth rate of dividends in the future.
We can use the dividend discount model (DDM) to calculate the current stock price of Sooner Motors Inc. based on the expected future dividend payments and the required rate of return of 11%.
Since the company is not expected to pay any dividends for the next 10 years, the current stock price will be equal to the present value of all the future dividends starting from year 10.
We are given that the estimated price of the firm in year 10, when dividends are first expected to be paid, is $40. We can assume that the dividends will grow at a constant rate (g) after year 10.
Using the formula for the present value of a growing perpetuity, we can calculate the current stock price as follows:
P = D / (r - g)
where P is the current stock price, D is the dividend payment in year 10, r is the required rate of return, and g is the constant growth rate of dividends.
To calculate D, we can use the formula for the future value of a single sum:
FV = PV x (1 + r)^n
where FV is the future value of the $40 estimate in year 10, PV is the present value of that estimate, r is the required rate of return, and n is the number of years from year 10 to the present.
Assuming a 10-year period from year 10 to the present, we get:
PV = 40 / (1 + 0.11)^10 = $13.39
FV = 40 x (1 + 0.11)^10 = $108.37
D = FV / (1 + g)^10 = $108.37 / (1 + g)^10
Substituting the values in the formula for the current stock price, we get:
P = D / (r - g) = ($108.37 / (1 + g)^10) / (0.11 - g)
We do not have information about the growth rate of dividends, so we cannot solve for the current stock price directly. However, we can make some assumptions about the growth rate of dividends and use those assumptions to estimate the current stock price.
For example, if we assume a constant growth rate of 3% per year after year 10, we can substitute g = 0.03 in the formula for the current stock price and get:
P = ($108.37 / (1 + 0.03)^10) / (0.11 - 0.03) = $50.27
Therefore, based on the assumptions we made, the current stock price of Sooner Motors Inc. is approximately $50.27. However, it's important to note that this is just an estimate and the actual stock price could be different depending on the actual growth rate of dividends in the future.
Learn more about stock price
https://brainly.com/question/29997372
#SPJ4
(2) suppose that you can either invest into a two-year bond described above, or invest into a 1-year bank deposit with an annual interest rate of 7.1%. as in (a), your investment horizon is 1 year. which option would you choose and why?
If my investment horizon is only 1 year, I would choose to invest in the 1-year bank deposit with an annual interest rate of 7.1%.
This is because the return on investment for the 2-year bond would not be realized until the end of the second year. By investing in the 1-year bank deposit, I would be able to access the return on investment at the end of the first year, which is more in line with my investment horizon.
Additionally, the interest rate on the 1-year bank deposit is relatively high, which would provide a satisfactory return on investment in the short term. It is important to match the investment horizon with the type of investment in order to maximize returns and minimize risks.
For more questions like Investment click the link below:
https://brainly.com/question/15105766
#SPJ11
wilson co. produces tennis rackets. a customer offered wilson co. $400 per racket for 200 rackets. to fill the order, wilson would incur unit-level costs of $300 per unit and batch-level costs of $1,000. wilson also incurred $10,000 of product-level costs to design the racket and has $100,000 of facility-level costs. based on your quantitative analysis, should wilson co. accept the special order?
To determine whether Wilson Co. should accept the special order, we need to consider whether the revenue from the order will cover the incremental costs of producing and selling the 200 rackets.
The unit-level costs of $300 per unit and batch-level costs of $1,000 per batch result in total incremental costs of $320,000 (($300 + $1,000) x 200). In addition, Wilson Co. has $10,000 of product-level costs and $100,000 of facility-level costs, which are not incremental costs for the special order.
If we subtract the incremental costs from the revenue, the result is $80,000 ($400 x 200 - $320,000). Since the revenue from the order exceeds the incremental costs, Wilson Co. should accept the special order.
To learn more about revenue refer to:
brainly.com/question/8645356
#SPJ4
the dahlia flower company has earnings of $1.46 per share. if the benchmark pe for the company is 14, how much will you pay for the stock? note: do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. if the benchmark pe for the company is 17, how much will you pay for the stock? note: do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.
The Dahlia Flower Company has earnings of $1.46 per share. If the benchmark P/E for the company is 14, the amount will pay for the stock when the benchmark P/E for the company is 14 is $20.44.
The given information includes the earnings per share of the Dahlia Flower Company, which is $1.46 per share.
The benchmark P/E ratio for the company is provided as 14 in the first case and 17 in the second case.
The formula for the price-earnings (P/E) ratio is P/E ratio
= Price per share ÷ Earnings per share.
To calculate the price per share, we can rearrange the formula as Price per share
= P/E ratio × Earnings per share.
For the first case where the benchmark P/E ratio is 14, we can substitute the values into the formula as follows:
Price per share = 14 × $1.46 = $20.44.
Therefore, when the benchmark P/E ratio is 14, the price per share of the Dahlia Flower Company is $20.44.
For the second case where the benchmark P/E ratio is 17, we can substitute the values into the formula as follows: Price per share = 17 × $1.46 = $24.82.
Therefore, when the benchmark P/E ratio is 17, the price per share of the Dahlia Flower Company is $24.82.
Learn more about stock.
https://brainly.com/question/31097038
#SPJ11
scarlett finds a piece of land that she is interested in purchasing. she asks robert, the landowner, to hold the land for her while she makes a decision. robert says that for $1,000, he will hold the land for her while she decides, and scarlett agrees. this is an example of a(n) .
Robert offers to hold the property for her until she makes a decision in exchange for $1,000, and Scarlett agrees that this is an example of breaking the mailbox rule.
Property Details are a list of information put together by the estate agency marketing a certain house. Property details, which can be accessed on paper or on electronic media, frequently include photographs. a succinct description of the property. Real estate has seven distinct characteristics that are either related to its economic or physical characteristics. Destructibility, singularity, immobility, location, enhancements, and scarcity are among them. Residential, commercial, industrial, and land are among the different kinds of real estate. Several ministers, bureaucrats, influential people, and well-known celebrities dwell in Sector 5, which is also known as Chandigarh's VIP quarter (sector). Sector 5 is one of the most significant areas in the city because many powerful people live there.
Learn more about property from
https://brainly.com/question/2807928
#SPJ4