The company's WACC will be 10.87% which is option A.
What is WACC and how is it calculated?WACC stands for Weighted average cost of capital.
WACC is calculated by multiplying the cost of each capital source (debt and equity) by its relevant weight by market value, and then adding the products together to determine the total. The cost of equity can be found using the capital asset pricing model (CAPM).
A company's debt-to-capital ratio or D/C ratio is the ratio of its total debt to its total capital, its debt and equity combined. The ratio measures a company's capital structure,
Formula For Calculation of WACC :-
WACC Formula = (E/V * Ke) + (D/V) * Kd * (1 – Tax rate)
E = Market Value of Equity.
V = Total market value of equity & debt.
Ke = Cost of Equity.
D = Market Value of Debt.
Kd = Cost of Debt.
Tax Rate = Corporate Tax Rate.
To know more about Weighted average cost of capital, click the given links.
https://brainly.com/question/8287701
https://brainly.com/question/20815933
#SPJ4
Correct Question - A company has a debt-to-capitalization ratio of 31.8%. Its pre-tax cost of debt is 7.4%. It has an unlevered beta of 1.05, a levered beta of 1.37 and a marginal tax rate of 35%. The risk free rate is 5.2% and the market risk premium is 6.2%. What is the company's WACC?
A) 10.87%
B) 13.70%
C) 11.69%
D) 9.55%
What are the 4 factors you need to consider when financing a car?
Before you sign on the dotted line, you should think about the four components of a car loan—loan charges, interest rate, down payment, and terms—as well as most financing in general.
When financing a car, what are the banks looking for?Regardless of the kind of vehicle finance you select, the lender will consider a number of factors before making you an offer. On this, you may rely: In order to establish whether you qualify and the interest rate you will be charged, the lender will assess your credit history and examine your level of debt. Keep demands for your credit score needless. Cash flow management is one of the most crucial (and obvious) facets of personal finance. It all comes down to how much money is being invested and where it is being spent. Before you can accomplish anything else with your money, it's imperative to have your cash flow under control.
To know more about Financing visit:
brainly.com/question/28754172
#SPJ4
Example of derivative securities isA. return backed securityB. mortgage backed securityC. cash flow backed securityD. interest backed security
Mortgage-backed securities are an example of derivative securities. A derivative security is a financial instrument whose value is determined by another asset's value. Futures, forwards, options, and swaps are the four primary forms of derivatives.
Derivatives (also known as derivative assets or contingent claims) are securities whose value is determined by an underlying asset or benchmark (also known as the underlying) — another security, commodity, or some benchmark, such as a specific interest rate or the value of a financial index at a specified time. Derivatives are a sort of structured product that is based on a contract and involves the structuring of an asset or combination of assets to offer an investment or hedge with a risk and return profile that would otherwise be unavailable with simpler assets. Primitive securities are based on real assets or payments made by the issuer. Stocks, for example, reflect an ownership interest in a firm, but bonds are valued mostly on what the issuer promises to pay.
To know more about derivative securities:
https://brainly.com/question/29583970
#SPJ4
How do countries benefit from trade give a detailed example of a country benefiting from trade?
Trading with other countries can bring many benefits to a country. For example, it can help to diversify the sources of goods and services available within the country, increase competition and help to drive innovation and productivity, lead to lower prices and higher wages, as well as stimulate economic growth.
This can in turn lead to more jobs and a better standard of living for citizens.A detailed example of a country benefiting from trade is China. Due to its large population and export-driven economy, China has been able to build on its comparative advantage in the global trading system and become one of the world’s leading economies. Since the beginning of economic reforms in 1979, China’s total exports have grown exponentially, amounting.
To know more about trading here
https://brainly.com/question/14191716
#SPJ4
Which one is the factor that must be considered in identifying the goods or services to produce?
Answer:
Factors of production are resources that are the building blocks of the economy; they are what people use to produce goods and services. Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship.
What are 3 reasons that globalization has increased the scale of trade?
The 3 reasons that globalization has increased the scale of trade are, improved transportation, making global travel easier, and improved technology which makes it easier to communicate.
The most important causes of the globalization tend to differ among the three major components of the international market integration, which are trade, international finance, technology, and multinational production. Thus, it can be seen that the globalization has allowed society to enjoy many benefits.
However, the globalization is seen to be clearly contributing to increased integration of the labor as well as the trading markets and also by closing the wage gap between the workers. So, globalization is the growing interdependence of the world's cultures, economies, and populations, brought by the cross-border trade.
To learn more about the globalization here:
https://brainly.com/question/15283031
#SPJ4
Why is free trade bad for developing countries?
Free trade may have drawbacks such as -
the use of low-cost labor (lower wages and little to no social taxes),increased pollution from laxer regulations, and covert government subsidies, such as low-cost financing.Define the impact of free trade on developing nations?Barriers to international trade, like tariffs and quotas, are eliminated or reduced as a result of trade liberalization. Lessening trade restrictions lowers the price of goods sold in importing nations.
Trade liberalization can help stronger economies while hurting weaker ones more.Because they are forced to compete in the same market as stronger economies or nations, developing nations or economies may be threatened by trade liberalization. This problem may kill off newly developed businesses there or stifle already existing ones in the area.As a result of having a labor market that can adapt to shifting demands and production facilities that can shift their focus to more in-demand goods, nations with advanced educational systems typically adapt to a free-trade economy quickly. Countries with lower educational standards might find it difficult to adjust to a shifting economic landscape.To know more about the free trade, here
https://brainly.com/question/30099658
#SPJ4
are especially useful for relationship marketing.
O Apps
O Podcasts
O Social networking sites
O Media networks
O Wikis
Here the correct answer to this question is Social networking sites and these are especially useful for relationship marketing.
What is intended by using relationship marketing?Relationship Marketing is a method of Customer Relationship Management (CRM) that emphasizes consumer retention, satisfaction, and lifetime consumer value. Its motive is to market to contemporary customers versus new purchaser acquisition via sales and advertising.
Relationship advertising refers to the a range of strategies and procedures of constructing long-term relationships with customers. Examples of relationship advertising and marketing consist of providing associated goods, sending out purchaser delight surveys, and presenting offerings associated to the product.
Learn more about relationship marketing here:
https://brainly.com/question/14545494#SPJ4Which best describes the role of a consumer?
A) buying goods
B) making products
C) providing products
D) supplying services
What are 3 reasons we trade with other countries?
The reasons why we trade with other countries are listed below:
To access a greater variety of goods and services: By trading with other countries, individuals and businesses have access to a wider range of goods and services that may not be available domestically. This can lead to increased consumer choice and better prices for goods and services.
To take advantage of comparative advantage: Countries have different resources, skills, and technologies that allow them to produce certain goods and services at a lower cost. By specializing in these areas and trading with other countries, countries can achieve greater efficiency and lower costs of production.
To promote economic growth: Trade can promote economic growth by increasing the demand for goods and services and creating jobs. It also allows countries to access new markets, technologies and ideas that can help to improve productivity and competitiveness.
To increase cultural exchange: Trading with other countries allows for cultural exchange, which can lead to a better understanding and appreciation of different cultures, customs and traditions.
Learn more about trade at
brainly.com/question/27622280
#SPJ4
What is Nationwide known for?
With an emphasis on domestic property and casualty insurance, life insurance and retirement savings, asset management, and strategic investments, Nationwide is one of the largest insurance and financial services firms in the world.
Those people are those who bank, save, or have a mortgage with us. We are operated for their advantage and to support the local communities. We aren't managed for shareholders the way banks are. One perk of joining Nationwide is the access to member-only products.
We are a Fortune 100 corporation that provides comprehensive financial and insurance services across the nation. We offer insurance for cars, motorcycles, homes, pets, farms, lives, and businesses. In addition, we provide specialty medical services, mutual funds, annuities, and retirement plans.
To know more about Nationwide: https://brainly.com/question/14910982
#SPJ4
debt is measured relative to gdp because
Debt is compared to GDP because a country's ability to pay off its debt is based on its level of productivity.
How come the debt to GDP ratio is used?By comparing what a country owes with what it produces, the debt-to-GDP ratio effectively predicts how well it will be able to pay off its debts. Alternatively, this ratio, which is commonly expressed as a percentage, can be regarded as the number of years needed to pay off debt if GDP were entirely dedicated to debt repayment.
The ability of a nation to repay its debt depends on its level of productivity, which is why debt and GDP are contrasted. If the government runs a budget deficit and uses the extra funds to purchase productive assets and the assets' return is high enough, the economy will gain from this strategy.
Learn more about debt-to-GDP ratio: https://brainly.com/question/29658613
#SPJ4
when do they stop selling lottery tickets in texas
On the day of the drawing, the Texas Lottery stops selling all lottery tickets at 10:00 pm Central Time (11:00 p.m. Eastern Time). You are always free to cease purchasing lottery tickets.
There is no cost associated with playing the Texas Lottery, and participation is entirely voluntary. For Scratch-off tickets, we can see differences in cutoff time according to the game.
Some scratch-off games, there can be an earlier cut-off of 8 pm. I can be clearer when u check the specific game you are trying to purchase.
The Powerball tickets will be sold before 10 pm central time which is one hour before the draw. Draws take place on Wednesday and Saturday of the week at 10.59 pm Central time.
To know more about lottery tickets
brainly.com/question/27357541
#SPJ4
What is Friedman's theory of demand for money?
Friedman's theory of demand for money is a theory of demand based on wealth. In his opinion, money is a long-lasting consumer good that people hold onto in exchange for the services it provides, providing a flow of services that is proportional to the stock.
In order to demonstrate how changes in the money supply impact the level of prices in the economy, Friedman proposed the demand for money function. He views money as one kind of asset that people hold wealth in. When used in conjunction with other variables to generate things, money is a capital good or factor of production for businesses.
To know more about demand for money, refer to:
https://brainly.com/question/14317228
#SPJ4
the adjustment for underapplied overhead ______ net income.
The adjustment for the underapplied overhead increases net income.
What is underapplied overhead?It's crucial to account for unapplied overhead while preparing the balance sheet. In general, overhead has no impact on a company's cash flow, but it does appear in the net income. The bottom line, or overall income, may suffer if overhead is not used effectively. So that the ultimate credit to the COGS is precise, it's crucial that you record the underapplied overhead as a prepaid expense. If your company has unapplied overhead at the conclusion of the accounting period, you can decide how to best use incoming cash flow to cover the extra cost. This statistic is useful for determining how much income should be set aside for budgeting overhead because underapplied overhead has no impact on cash flow.
To learn about underapplied overhead, visit:
https://brainly.com/question/28621451
#SPJ4
What factors affect loan interest rate?
Each form of loan has a different interest rate, which is determined by the factors like loan's credit risk, term, tax implications, and convertibility.
The availability of funds from lenders and the demand from borrowers are the main determinants of how interest rates change. As an example, let's look at the mortgage industry. Banks must have money on hand to lend during a time when many individuals are borrowing money to purchase homes.
When setting interest rates, lenders take your credit score, payment history, and the state of the economy into account. Generally speaking, the lower interest rates you might anticipate depend on your credit score. However, loan-specific considerations like the repayment schedule also come into play.
Learn more about interest rate Visit: brainly.com/question/2699966
#SPJ4
Activities causing overhead include all of the following:
Activities causing overhead includes unit-level activities, batch-level activities, product-level activities and facility-level activities.
What is overhead?In the business world, overhead or overhead charge refers to a regular cost of operating a business. Overhead costs, in contrast to operating costs like raw materials and personnel, are costs that are difficult to connect to or associate with any one revenue unit. Overheads cannot result in profits because they are not directly connected to the products or services being offered. Overheads are an essential part of total costs, along with direct labor and material expenditures. Overheads are usually associated with accounting concepts like fixed costs and indirect charges. Overhead expenses are all charges on the income statement other than direct labor, direct supply, and direct spending. They also include of the costs for accounting, advertising, insurance, interest, and legal services.
To learn about overhead, visit:
https://brainly.com/question/14214588
#SPJ4
Complete Question:
Activities causing overhead include which of the following: unit level facility, level selling level, batch level measurement of activities and determination of factors.
what is the benefit of having a fixed interest rate loan?
A fixed rate avoids the risk of your mortgage or loan payment increasing significantly over time.
The required details for fixed interest rate in given paragraph
A fixed rate loan is a loan where the interest rate does not change during the fixed rate period. This allows the borrower to accurately predict future payments. Variable rate loans, on the other hand, are linked to the prevailing discount rate. A fixed rate is exactly what it sounds like: it's a specific fixed rate attached to a loan or line of credit. repayable loan, capital included. The fixed interest rate is the most common form of interest for consumers because it is easy to calculate, easy to understand and stable; Borrowers and lenders know exactly what interest obligations are associated with the loan or loan account. For example, imagine a $10,000 loan granted to a borrower by a bank. Assuming a fixed interest rate of 5%, the actual cost of the loan, including principal and interest, is $10,500. This is the amount that the borrower must repay. The fixed rate is based on the lender's assumptions about the average discount rate over the period of the fixed rate.
The present value of a fixed rate loan is typically determined using future interest rates at the time of calculation.
To know about fixed interest rate click here
https://brainly.com/question/27025742
#SPJ4
What are the 3 credit score types?
The three credit score types are installment credit, revolving credit, and open credit, these are the ways they impact your credit score.
The credit score is the based on credit history then, number of open accounts, total levels of debt, repayment history, and other factors. Lenders use credit scores to evaluate the probability that an individual will repay loans in a timely manner.
Installment Credit is specified for the monthly payments, terms, and interest. The revolving credit is a type of credit in which the payment does not fixed and the credit which is renewed as debts are paid off.
To know more about credit score here,
https://brainly.com/question/25668115
#SPJ4
What is an example of a secondary consumer?
Examples of secondary consumers include fish, wolves, bears, and other creatures. In particular, omnivores and carnivores are heterotrophs that they are.
What are the secondary consumers?The primarily consumed by herbivores (vegetarians). Animals known as carnivores are the secondary consumers since they eat the prime consumers (meat eaters). Usually more significant and few in number, secondary consumers. This is still the case all the way up the food chain. The heterotrophs that they are in particular include omnivores and carnivores. Animals are the only source of sustenance for carnivores. Omnivores eat both plant life and animal food. Small carnivores that primarily hunt on herbivores are known as "secondary consumers." Frogs come to mind. Tertiary consumers are huge carnivores that feed mostly on secondary consumers. an example would be birds.
To know more Secondary Consumer visit:
https://brainly.com/question/29532547
#SPJ4
3. What is an annual percentage rate (APR)? Describe one similarity and one
difference between the APR and the interest rate on a credit card or loan. Why
would the APR differ from a creditor's posted interest rate? In your response, also
explain how borrowers can use the APR to evaluate loan options, and describe why
borrowers should be wary of low introductory APRs. (8 points)
7
An annual percentage rate, or APR, is a figure that expresses the entire cost of borrowing money as a proportion of the loan's principle. An accurate picture of how much it costs to borrow money is intended to be provided by the APR on a loan or credit card.
What is annual percentage rate?The term annual percentage rate of charge refers to the interest rate for an entire year rather than just a monthly fee or rate as applied on a loan, home loan, credit card, etc. It can also be referred to as a nominal APR or an effective APR. It is an annual rate of a finance charge. An annual percentage rate, or APR, is a figure that expresses the entire cost of borrowing money as a proportion of the loan's principle. An accurate picture of how much it costs to borrow money is intended to be provided by the APR on a loan or credit card.
To learn more about annual percentage rate click,
https://brainly.com/question/2772156
#SPJ1
What is being referred to as a set of rules that govern the conduct of elections?
A set of regulations that govern how elections and referendums are held and how their outcomes are determined is known as an electoral system or voting system.
An election is a procedure, i.e., a planned event, in which voters cast ballots to choose a candidate for a political office or other office. For instance, because the president serves a four-year term, the presidential election normally takes place once every four years. An illustration would be the 2016 US election, in which Donald Trump was elected as the nation's 45th president.. Voting is a process that a group, such as an electorate or assembly, can employ to reach consensus or express a position, typically after discussions, debates, or election campaigns. Under the authoritarian one-party leadership of the Vietnamese Communist Party, elections are held in the nation (VCP). Vietnam is a distinctive nation.
Learn more about elections from
brainly.com/question/3710013
#SPJ4
What is economic inequality called?
Economic disparity is the unequal distribution of wealth and opportunities among various social groups.
Define the term economic inequality and its causes?The unequal distribution of income and opportunity among various social groups is known as economic inequality.
Nearly all nations in the world are concerned about it, and many people are stuck in poverty with few opportunities to move up the social scale. However, being born into poverty does not guarantee that you will remain poor. Social assistance programs can be used in conjunction with training, skill-upgrading, and educational policies to help people out of poverty and to lessen inequality. Several nations are currently investigating whether a universal basic income might be the solution.Due to travel restrictions, nationwide lockdowns, and the virus itself, which affects people within and across nations in widely disparate ways, the global coronavirus pandemic is likely to worsen existing inequalities. Technological advancement, globalization, commodity price cycles, and domestic economic policies like redistributive fiscal policies, labor and product market policies are some of the main causes of the rise in intra-country income inequality noted in the literature.To know more about the economic inequality, here
https://brainly.com/question/30097582
#SPJ4
Is profit total revenue minus total cost?
The concept given is Economic profit. It is the difference between the revenue received from sales and the explicit costs of producing its goods and services, as well as any opportunity costs.
Economic profit is total profit minus total cost, which includes both unequivocal and implicit costs. The difference is important. Indeed though a business pays income levies grounded on its account profit, whether or not it's economically successful depends on its profitable profit.
The main part of profitable gains is to help businesses make rational opinions. profitable profit measures the difference between the accounting profit and occasion cost.
The occasion cost is the investment that the business will need to give up investing in the current occasion. profitable profit isn't recorded on a company’s fiscal statements, nor is it needed to be bared to controllers, investors, or fiscal institutions.
To know more about Economic profit,
brainly.com/question/27113609
#SPJ4
All California Real Estate Laws are created by:
Through licensing, regulation, education, and enforcement, the California Department of Real Estate (DRE) aims to protect and advance the public interest in real estate concerns.
Where can I get a list of California's real estate regulations?All 29 of the California laws that make up California law are available on the state of California's official legislative information website.
Can an attorney also act as a real estate agent in California?If you're an attorney who is a member in good standing of the California State Bar, you are exempt from some criteria to become a licensed real estate agent or real estate broker. In essence, you get the all-clear to sit for the test straight away.
Learn more about licensed real estate agent : https://brainly.com/question/29804324
#SPJ4
What is an opportunity cost Mcq with answers?
Opportunity cost is defined as the cost of losing the next best alternative. It represents the sacrifices people have to make due to lack of resources.
Resources are limited, but desires are limitless, so choices must be made.
Opportunity cost refers to what you have to give up to buy what you want in other goods and services. When economists use the word cost, they usually mean opportunity cost. The word “expenses” is often used in everyday conversation and news.
Opportunity cost is the value of what you lose by choosing between two or more options. Every choice has trade-offs, and opportunity cost is the potential gain missed by choosing one direction over another.
Know more about Opportunity cost here:
https://brainly.com/question/13036997
#SPJ4
In a move aimed at boosting employee salaries, the Federal Trade Commission proposed a ban on…
Noncompete clauses
Unpaid overtime
Mandatory drug testing
The Federal Trade Commission proposed a ban on Noncompete clauses to boosting employee salaries. It is because noncompete clauses has a big impact through hampers innovation, suppresses wages, and blocks entrepreneurs from starting new businesses.
A non-compete clause (often called as NCC), also known as covenant not to compete (CNC) or restrictive covenant, generally can be defined as a clause under which one party (usually an employee) agrees not to enter into or start trade in competition or a similar profession against another party (usually the employer). Non competes usually preventing employers from hiring the best available talent and also blocking workers from pursuing better opportunities so it can jeopardizing competition in U.S. labor markets.
Here you can learn more about noncompete clauses https://brainly.com/question/12093422
#SPJ4
Are savings accounts best used for long term goals?
Yes, Long-term savings accounts allow you to benefit from compound interest and are typically appropriate for objectives that are many months or years away.
The more time you have to put money aside and let interest accumulate, the more it will increase. Long-term goals are set at least five years in the future, whereas short-term goals are within a five-year time frame. For short-term objectives, CDs, money market accounts, and standard savings accounts are best. In order to be able to weather performance changes, investing is typically only done for long-term objectives.
A word here regarding account selection first: The overwhelming majority of long-term objectives concern retirement, therefore you ought to invest in a tax-advantaged account. That would be an IRA or Roth IRA, or a 401(k), if your employer provides one with matching funds.
Learn more about savings account Visit: brainly.com/question/738615
#SPJ4
The IBC test will be your spring final exam yes or no
Answer: yes it will be
What are the three things you should consider when comparison shopping?
Comparative shopping is the practice of comparing product costs across various merchants and selecting the one where the item is most affordable
When comparison shopping, there are several things to consider to ensure that you are making an informed decision. Three key things to consider include:
Quality: Compare the quality of the products or services being considered. Consider factors such as durability, materials, and design.Price: Compare the prices of the products or services being considered. Look for deals, discounts, and special offers. Be aware of the total cost including taxes, shipping, and any additional fees.Features: Compare the features of the products or services being considered. Consider things such as size, color, warranty, and customer service.It's also important to consider the reputation and reliability of the companies or sellers you are considering, as well as the return policy, and the availability of customer service or technical support.
Know more about comparison shopping - https://brainly.com/question/29552705
#SPJ4
An annual pass to a park costs $120. Use a percent model to find 25% of the full price of the annual pass.
The annual pass's 25% discount equals $30. Given that, a park's annual pass costs $120.
How much is a percentage?A percentage is a specific number or fraction out of a hundred. "%" is the symbol for this fraction, which has the denominator 100. Percentages are fundamentally fractions with 100 as the denominator.To show that a number is a percentage, the percent symbol (%) is placed next to it. For instance, if you answered 75 out of 100 questions on a test accurately (75/100), you would have gotten a 75% mark.One can calculate the percentage by multiplying the value by the total value, then dividing the result by 100. (Value/Total Value)100% is the percentage computation formula.We need to find 25% of the full price of the annual pass
Here, 25% of 120
= 25/100 × 120
= 0.25 × 120
= $30
Therefore, 25% of the full price of the annual pass is $30.
To learn more about percentage, refer to:
https://brainly.com/question/24877689
#SPJ4