The correct answer is D) attributes.
The term that best reflects the guidelines that the employees of Neptune LLC are expected to follow is "attributes."
Neptune LLC knows that to be productive, it has to hire accountable employees that are efficient and productive. To do this, employees need to know from the first day at work, what are their responsibilities and the way they are going to be evaluated. Otherwise, they are going to do what they know, but probably not following the attributes that the company demands That is why the company establishes guidelines regarding the resources and capabilities that they should invest their company's money and time in. Employees do not need to have any doubt about the attributes of the company and they should know what is expected of them.
Answer:
e. Minimize the weighted average cost of capital (WACC)
Explanation:
A: Earnings per share is linked to the stockholders' only, therefore, it cannot achieve the target capital structure. It is a wrong statement.
B: Minimizing the cost of equity is related to the equity only, so, it is also a false statement.
C: Cost of debt is only related to liabilities. It cannot minimize the total target capital structure. Therefore, it cannot be an answer.
D: It is out of question because target capital structure cannot obtain the bond rating.
E: Since weighted average cost of capital is the combination of debt and equity capital's cost, it can be minimized with the firm's target capital structure.
Answer: Loss of $22,000
Explanation:
Gain (loss) = Net Carrying Value of Bonds recalled - Price bond called at
Net Carrying Value of Bonds
= Par value - Unamortized discount
= 300,000 - 10,000
= $290,000
Gain (loss) = 290,000 - (300,000 * 104)
= ($22,000)
Answer:
The correct answer is letter "E": a durable power of attorney.
Explanation:
A power of attorney is a document stating another party is legally right to act on an individual's behalf. As soon as the individual is capable to handle business, the power of attorney loses validity.
A durable power of attorney, instead, is used when the individual delegating power to another party has knowledge of being impaired soon and possibly is not going to recover. Thus, the durable power of attorney will be valid since the individual cannot handle business until the moment of his or her decease. During that time, the selected party is right to make health and finance decisions on behalf of the individual.
