Answer:
McDonald's Corp
The cost of capital for the preferred stock is:
10.67%
Explanation:
a) Data and Calculations:
Market price of preferred stock = $178
Preferred stock dividend = $19
Cost of capital = Preferred stock dividend/Market price of preferred stock * 100
= $19/$178 * 100
= 10.67%
b) The cost of capital for McDonald's preferred stock is the finance cost or interest cost that it must incur for financing its projects using preferred stock. This represents the 10% of the preferred stock value that is paid out to preferred stockholders.
Answer:
GDP= 9,872
Explanation:
The Expenditure Approach is a method of measuring GDP by calculating all spending throughout the economy including consumer consumption, investing, government spending, and net exports. This method calculates what a country produces, assuming that the finished goods and services of a country equals the amount spent in the country for that period.
The formula is:
GDP=C+I+G+/-NX
GDP: Gross Domestic Product
(C) consumer spending – this is the amount that all consumers spend on goods and services for personal use.
(I) investment – this is the amount that businesses or owners spend to invest in new equipment or expansions.
(G) government spending – this includes spending on new infrastructure like bridges and roads.
(NX) net exports – this includes spending on a country’s exports minus its spending on imports.
GDP= 6,728+1,767 +1,741+(1,102-1,466)
GDP= 9,872
Answer:
The amount of bond issuance is $2,085,500
Explanation:
The computation of the amount of bond issuance is shown below:
= Raise capital + attorney cost - underwriter spread
= $2,000,000 + $150,000 - 3% of $2,150,000
= $2,150,000 - 3% of $2,150,000
= $2,150,000 - $64,500
= $2,085,500
Hence, the amount of bond issuance is $2,085,500
We simply applied the above formula so that the correct value could come
Answer:
True
Explanation:
Microsoft matrix along with his rivals. There are two ways to use the technology. Microsoft and its rival can move simultaneously. The equilibrium strategy can be determined y pay off matrix. The both companies use pure strategy. The criteria for pure strategy is max-min and min-max. The max-min strategy means select least case from all the best cases and min-max is selecting the best case from all the least cases.
Answer:
The correct option is B,demand-based
Explanation:
Demand-based is the pricing strategy of hiking prices at busy at peak periods and charging modest prices at off-peak periods.
The reason for charging higher prices at peak periods the traffic at that time stretches the resources of the business,hence a little extra price is added as contribution towards maintenance of existing facilities and possible upgrade in the near future.
This approach is also known with telecommunication firms such as Vodafone and MTN.
