Answer:
20m
Explanation:
To calculate the number of outstanding shares we need to calculate market capitalization value first. After calculating market capitalization value we are going to divide the difference in market capitalization value by share price.
DATA
share price = $20
Debt involved = 200m
Cash = 200m
Solution
Number of outstanding shares (after the transaction of shares repurchase) = Difference in market capitalization / Per share price.
Number of outstanding shares = (1200m - 800m) / 20
Number of outstanding shares = 400m / 20
Number of outstanding shares = 20m
Working
Market capitalization (after the repurchase of existing shares) = Shareholders' funds - Debt involved - Cash.
Market capitalization = (60m * 20) - 200m- 200m.
Market capitalization = 1200m - 200m - 200m
Market capitalization = $800m.
Answer:
You bought one DVD and found out from the small prints that the American movie it contains was shot in Canada, the DVD was manufactured in Portugal, and you bought it online at Amazon.com
Explanation:
he globalization of production is referred to as the sourcing of materials from locations around the globe for a production. Complete goods and services or parts are acquired from countries where they are available at lower opportunity costs are used to manufactured new products. The globalization of production is taking advantage of differences in the quality and cost of inputs in different countries.
Advancement in information technology and transportation has fueled the globalization of production. Reduction in international trade restrictions has made it possible for companies and countries to source for the factors of production, including capital, labor, and land from nations where they are least expensive.
Answer:
11.41%
Explanation:
Unlevered beta for new division:
= Levered beta ÷ [1 + (1 - tax) × D/E]
= 1.6 ÷ [1 + (1 - 40%) × (40 ÷ 60)
]
= 1.14
Beta for Faris's new division:
= Unlevered beta × [(1 + (1 - tax) × D/E]
= 1.14 × [1 + (1 - 40%) × (70 ÷ 30)]
= 2.74
Using CAPM,
Cost of equity, re = Rf + (beta × MRP)
= 8% + (2.74 × 5%)
= 21.71%
WACC:
= (wd × rd) + (we × re
)
= (70% × 7%) + (30% × 21.71%
)
= 11.41%
Answer:
A Apologises for any trouble and explain the change to each customer.
Explanation:
After changing the organization policy first the employees want to understand the policies of the company so that they are able to communicate with the customers but before that the employees required to grab more information with respect to the customer before dealing with it.
For any trouble, the employees should apologises it and explain to them what is the changes in the policy to each customer and why it is important
Hence, the first option is correct
