Answer:
The difference between two WACC is 1.2%.
Explanation:
As we know that
WACC = Ke * Ve / (Ve + Vd (1-Tax)) + Kd * Vd*(1-tax) / (Ve + Vd*(1-Tax))
Using the Book Value Method:
WACC = 14% *$65 / ($65m + $45m (1-40%))
+ 6% *$45m*(1-.4) / ($65m + $45m (1-40%))
WACC = 10% + 1.8% = 11.8%
<u>Using the market value method:</u>
Market Value of Common Stock = Common Shares * Market value per share
Market Value of Common Stock = 10 million * $22.5 per share = $225m
WACC = 14% *$225 / ($225m + $50m (1-40%))
+ 6% *$50m*(1-.4) / ($225m + $50m (1-40%))
WACC = 12.35% + 0.7% = 13%
The difference between two WACC is 1.2%.
Answer: $33 without trade, $50 with trade
Explanation:
Wages can be defined as any monetary compensation paid by an employer to his/her employee for work done during a specific period of time. Payment may be calculated as a fixed amount for each accomplished task, or on hourly basis, daily rate, or based on the quantity of work done, which has been easily and adequately measured. The wages of this country if a efficiently calculated is $33 without trade and $50 with trade.
<span>The carbon dioxide (CO2) is the response variable. When analyzing statistics it is important to understand the difference between independent and dependent (response) variables. In this example, the oil is the independent because it is being changed, whereas the carbon is the response because it 'responds' to the oil and the amount of oil that is used.</span>
Answer:
May's sales that are expected to be noncollectable are $7500.
Explanation:
The total collections from a months's credit sales is expected to be as follows,
35% in the month of sale
54% in the following month
6% in the second month after sale
The remaining is expected to be noncollectable.
The credit sales for a month are equal to 100%.
The percentage of noncollectable sales is = 100 - (35 + 54 + 6) = 5%
Thus, 5% of each month's sale is expected to be noncollectable.
May's sales that are expected to be noncollectable are,
Noncollectable Sales-May = 150000 * 0.05 = $7500
