Answer:
Explanation:
The person who spoke says that, if the the brand is very huge, (so also it will have a huge baggage ), by this , the force that will be needed to change its positioning will be high. An example is companies like
Unilever, P&G like to keep all the brands they have differently like Pringles and cornflakes and another example is companies like Hoover found it very hard to convince the world that they were more than vaccum cleaners as a brand.
Answer:
(a) Dividends : Equity
(b) Interest receivable :Assets
(c) Issuance of preferred stock : Equity
(d) Prepaid insurance: Assets
(e) Amortization: Expenses
(f) Cost of goods sold: Expenses
(g) Accounts payable: Liabilities
(h) Cash: Assets
(i) Equipment: Assets
(j) Gain on sale of equipment: Revenues
Explanation:
The main elements of financial statements are: Assets, Liabilities, Equity
, Revenues and Expenses.
Assets are all the resources that the company has.
Liabilities are all the obligations that the company has.
Equity is the difference of subtracting the liabilities of the assets.
Revenue is the economic benefit that the company receives.
Expenses are the disbursements that the company makes.
Answer and Explanation:
Data provided in the question
defect rate i.e.
= 1.50%
the sample size = n = 200
Now

= 0.008595057
Now the 3 sigma control limits is
UCL_p =
+ 35p
= 0.015 + 3 (0.008595057
)
= 0.04078517
LCL_p =
- 35p
= 0.015 - 3 (0.008595057
)
= 0
hence, the 3 sigma control limits are UCL 0.04078517 and LCL 0 respectively
200,000 have to find what 10 percent is and multiply that by 10
Answer:
Turnbull's weighted average cost of capital will be higher by 0.65% if it has to raise additional common equity capital.
Explanation:
By combining the WACC formula and retained earnings cost of capital,we will arrive at;
WACC = Debt W × after tax cost of debt + Preferred stock weight × cost of capital + Equity W × Cost of capital
= 58% × 4.92% + 6% × 9.3% + 36% × 12.4%
= 2.85% + 0.56% + 4.46%
= 7.87%
Also, using the same WACC formula and using common equity cost of capital, , we will arrive at the below;
WACC = Debt W × after tax cost of debt + preferred stock weight × cost of capital + Equity W × cost of capital
= 58% × 4.92% + 6% × 9.3% + 36% × 14.2%
= 2.85% + 0.56% + 5.11%
= 8.52%
Therefore, increase cost using common equity over retained earnings is [ 8.52% - 7.87%]
= 0.65%
N.B we arrived at 4.92% for after tax by;
Pre tax 8.2%
Current tax rate 40%
= Pre tax × ( 1 - cost of debt)
= 8.2% × ( 1 - 40%)
= 8.2% × 0.6%
= 4.92%