Answer: a. $5.50
b. $6.1
c. $3,500,000
Explanation:
a. From the question, we are informed that Hawar International is a shipping firm with a current share price of $5.50 and 10 million shares outstanding and that Hawar announces plans to lower its corporate taxes by borrowing $20 million and repurchasing shares.
We are informed that Hawar announces plans to lower its corporate taxes by borrowing $20 million and repurchasing shares. This is a transaction and therefore, the value if the share won't be changed. So, the value for the share will still be $5.50.
b. If the only imperfection is corporate tax rate of 30%, the share price after this announcement will be:
= [30% × (20million/10million)] + $5.50
= [0.3 × 2] + $5.50
= $0.6 + $5.50
= $6.1
Therefore, the share price be after this announcement will be $6.1.
c. If the share price rises to $5.75 after this announcement, the PV of financial distress costs Hawar will incur as the result of this new debt will be:
= ($6.1 - $5.75) × 10,000,000
= $0.35 × 10,000,000
= $3,500,000
Suggestive selling, accepting credit cards as payment, and expanding operating hours to 24 hours are strategies or selling techniques used by the fast food industry to attract customers to increase the purchase amount of the products resulting to increase in profit in the business.
Answer:
The researcher should write/ list out some research questions, that will help provide answers to the research. The question, should be clear and specific.
Some of the questions to be asked are listed below:
(i) What are the standard distribution of color for candy sold in the market?
(ii) How is the distribution of colors in each of it's packages of candy sold?
(iii) Are candy manufacturers interested in the distribution of colors in each of it's packages of candy sold?
Explanation:
The researcher should write/ list out some research questions, that will help provide answers to the research. The question, should be clear and specific.
Some of the questions to be asked are listed below:
(i) What are the standard distribution of color for candy sold in the market?
(ii) How is the distribution of colors in each of it's packages of candy sold?
(iii) Are candy manufacturers interested in the distribution of colors in each of it's packages of candy sold?
The Marine Corps refer to the United States Marines Corps, a branch of the U.S. Army who is responsible for conducting expedition and amphibious operations with multiple branches of the military, which includes the Navy, Army, and the Air Force.
The answer to the question is size and capacity vs. speed and flexibility.
