They are in the "collecting information" stage of planning.
Answer:
to accept both the projects i.e. Project Peso and Project Quasi
Explanation:
As we can see in the given case, that the weighted average cost of capital on the projects is 9% while on the other hand, Perso and Quasi both have the internal rate of return 10.6% and 12.6% i.e. above 9% so based on this, the decision that should firm make is to accept both the projects i.e. Project Peso and Project Quasi
The same would be relevant
Answer:
The dividend payout ratio is 43.33% as shown below
Explanation:
EBIT is an acronym for earnings before interest and tax, it is given as $2 million.In other words, to arrive at net income we need to deduct interest on loan and tax.
EBIT $2000000
less interest(5000000*10%) ($500000)
Earnings before tax $1500000
Tax @40% ($600000)
Net income $900000
Since capital project requires 60% of equity(net income belongs to equity holders),hence we need to deduct 60% of capital outlay from net income to arrive at distributable earnings.
distributable earnings =$900000-(60%*$850000)
=$390000
Hence dividend payout ratio=distributable earnings/net income
=$390000/$900000
=43.33%
Answer:
c. money supply to rise. To reduce the impact of this the Fed could sell Treasury bonds.
Explanation:
Since in the question it is given that the bank has decided to hold fewer reserves that contain excess reserves as compared to deposits so for this they have to borrowed the amount or the saving amount should be invested
This results in declining in interest rate which causes the money supply risen also the demand and the investment for the nation has risen that develop the inflation but for declining the inflation the FED has to sell the bonds so that it comes at equilibrium point again
The correct answer is meddles. The sentence will be phrased as, Tom frequently meddles in the 4 of his friends and family.
Medals are a noun which is defined as receiving a reward because of an achievement from a specific field.
Metals are inorganic objects such as Aluminium and others.
Mettles doesnt exist.