Take It All Away has a cost of equity of 10.78 percent, a pretax cost of debt of 5.43 percent, and a tax rate of 40 percent. The company's capital structure consists of 76 percent debt on a book value basis, but debt is 36 percent of the company's value on a market value basis. What is the company's WACC

Answers

Answer 1

Answer:

Take It All Away has a cost of equity of 10.78 percent, a pretax cost of debt of 5.43 percent, and a tax rate of 40 percent. The company's capital structure consists of 76 percent debt on a book value basis, but debt is 36 percent of the company's value on a market value basis.

Explanation:

What is the company's WACC?

8.07%

10.68%

8.85%

9.44%

6.41%


Related Questions

We have discussed at least two reasons for banks to exist, both of which imply that banks are somehow special, or perform a unique function for the rest of the financial society/world. Explain, in detail, the rationales developed by Fama, and by Diamond in their ground breaking papers. The best answers will quote extensively from the papers.

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The reasons for banks to exist according to Fama is that offer interests to customers and financial advice.

What is a bank?

It should be noted that a bank simply means a financial institution that accepts deposit from the public.

In this case, banks are somehow special, or perform a unique function for the rest of the financial world. The reasons for banks to exist according to Fama is that offer interests to customers and financial advice.

They also lend money to firms and keep money safe for the customers.

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An approach in which MNEs draw on multiple, equally important innovation hubs throughout the world characteristic of Globalization 3.0 is known as a(n) ___.

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When MNEs draw on multiple, equally important innovation hubs throughout the world globalization, they become transnational corporation.

What is globalization?

It should be noted that globalization simply means the process whereby thw world become linked together.

In this case, when MNEs draw on multiple, equally important innovation hubs throughout the world globalization, they become transnational corporation.

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Which of the folloiwng is an example of direct finance?

A) an individual applies for a mortgage through a mortgage bank

B) a muncicipality sells muncipal bonds to investors

C) an individual deposits funds into a savings account at his credit union

D) a small business opens a line of credit form a commerical bank

Answers

Answer:

i believe the answer is B) a muncicpiallity sells muncipal bonds to investors.

Explanation:

I hope this is correct and it helps you!

-Justin:)

Answer:

B.

Explanation:

Just took the test.

A food worker washes his hands and puts on new gloves before taking tomatoes from a box and slicing them for burgers

Answers

What the food worker, who washes his hands and puts on new gloves before taking tomatoes from a box and slicing them for burgers, has done is an example of practicing good personal hygiene.

What is personal hygiene?

Personal hygiene involves the following activities: bathing, washing hands, brushing teeth, etc.

The purpose of personal hygiene, especially for a food worker or handler is to prevent biological, chemical, and physical hazards that make food unsafe.

Thus, since food workers come into contact with millions of germs and viruses daily, they must practice personal hygiene.

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Nile River Scuba has never paid any dividends. Six years ago, the firm's stock was selling for $24.58 per share. Today the stock is priced at $42.91. What was the compound annual return over the past 6 years

Answers

Answer:

multiply

Explanation: calc?

Tariffs help increase market security for traders and investors?
True Or False

Answers

Answer:

The answer is true.

Explanation:

They help import and export goods and they are like a safeguard.

True bc to help export goods

What type of account is used to pay for daily expenses?.

Answers

Answer:

Checking accounts are used for everyday spending

Explanation:

The key features of this type of bank account are a linked debit card you can use for purchases or ATM withdrawals, as well as check-writing abilities. The account type also allows you to deposit cash or checks and pay bills.

As an ammunition supervisor, you receive an urgent Notice of Ammunition Reclassification (NAR). It must be

Answers

As an ammunition supervisor, you receive an urgent Notice of Ammunition Reclassification (NAR). It must be given the highest priority.

As the ammunition supervisor, I acknowledge receipt of the urgent Notice of Ammunition Reclassification (NAR) and recognize its paramount importance. The reclassification demands immediate and rigorous attention to ensure compliance with safety protocols, accurate inventory records, and swift execution of necessary procedures.

Our team will promptly initiate the required actions, prioritizing the secure handling, tracking, and reporting of reclassified ammunition. Safety and precision remain our foremost concerns as we address this critical matter, safeguarding both personnel and operational integrity. We are fully committed to executing this reclassification with the highest level of urgency, professionalism, and adherence to established guidelines.

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BigManufacture Inc. currently releases lead in to the local waterways at a concentration of 5 parts per billion. The government regulations sets a limit to the lead pollution at 2 parts per billion accompanied by a $30,000 fine per year for each part per billion beyond the 2 part limit. What is BigManufacture Inc. likely to do

Answers

Based on the calculations of total costs for each option, BigManufacture Inc. is likely to D. Reduce lead pollution by 1 part per billion.

What is the best pollution strategy?

There are many strategies to reduce pollution.

Deciding on a pollution reduction strategy depends on the total costs involved, as illustrated below.

Data and Calculations:

Total costs:

                                        Option A      Option B       Option C     Option D

Pollution Reduction cost  $0              $110,000       $60,000      $25,000

Fine payment                  $90,000       $0                $30,000      $60,000

Total costs                     $90,000      $110,000      $90,000      $85,000    

Question Completion:

Cost Implication of Lead Pollution Reduction

Reduction of Lead         Cost

By 1 part per billion      $25,000/year

By 2 parts per billion   $60,000/year

By 3 parts per billion  $110,000/year

Answer Options:

A. Reduce lead pollution by O part per billion.

B. Reduce lead pollution by 3 parts per billion.

C. Reduce lead pollution by 2 parts per billion.

D. Reduce lead pollution by 1 part per billion.

Thus, based on the calculations of total costs for each option, BigManufacture Inc. is likely to D. Reduce lead pollution by 1 part per billion.

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Which type of credit involves a set limit based on what a consumer pays up front?

Loans
Installment credit
Secured credit cards
Unsecured credit cards

Answers

Answer:

Secured credit cards

Explanation:explanation: Secured credit cards refer to credit cards that offer credit secured by a cash deposit from the cardholder. The deposit secures the card issuer from loss in case the cardholder is unable to cover the debt.

Answer:

Secured credit cards

Explanation:

What is the main function of a business?​

Answers

Manufacture of specific goods or the supply of specific services

__________ communication can significantly enhance an organization's reputation, productivity, community support, and economic success.

Answers

External communication, when performed effectively, is capable of improving organizational processes and their marketing success.

What is external communication?

Corresponds to communication carried out outside the organization, with the aim of attracting consumers, customers and partners, increasing competitiveness and positioning in the active market.

Therefore, the external communication department is responsible for exchanging information with the macro-environment in line with the company's values ​​and objectives, seeking strategic advantages.

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Assume that labor and capital are the only two inputs a perfectly competitive firm uses to produce wheat. The firm hires its inputs in perfectly competitive input markets. The unit price of labor is $8 and of capital is $20. When the firm employs the profit-maximizing combination of these two inputs, the marginal product of labor is 2 tons of wheat and of capital is 5 tons of wheat. The price of wheat per ton must be

Answers

The price of wheat per ton must be $4 when profit-maximizing combination is employed.

What is Price?

This is defined as the amount of money that has to be paid to acquire a given product.

To get the price per ton for the company to make profit, we find the ratio of the unit price of labor to the marginal product of labor.

$8 / $2 = $4.

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A pollution charge gives the trucking industry an incentive to reduce its emissions, as long as the ___ of reducing the emissions is ___ .

Answers

A pollution charge gives the trucking industry an incentive to reduce its emissions, as long as the marginal cost of reducing the emissions is less than the tax.

What is a negative externality?

Pollution consistutes a negative externality. This is because the cost of pollution is greater than its benefits to third parties not involved in the activity that generates the population.  A way to reduce pollution is to enact a pollution charge.

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Morgan Company issued convertible preferred stock. What additional special feature(s) could also have been granted to preferred stock holders

Answers

Answer:

The right to convert the shares to common shares and The right to redeem the preferred shares for cash.

Explanation:

The ability to exchange shares for common shares, as well as the ability to exchange preferred shares for cash.

What is convertible preferred stock?

Convertible preferred stocks are preferred shares with an option for conversion into a specific number of common shares at a later time.

These shares are corporate fixed-income instruments, and the investor may decide to convert them into a particular number of shares of the company's common stock at a later date or after a specified period of time.

An investor can receive a stream of income as well as potential "upside" benefits by purchasing convertible preferred stock. At the predetermined date and conversion ratio, it may be converted into the company's common stock. This is a favorite stock attribute that attracts investors.

Thus, the ability to exchange shares for common shares.

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_________ addresses the means by which leaders provide direction to get workers to accomplish tasks whereas _________ addresses how leaders interact on a personal level with workers.

Answers

Leadership addresses the means by which leaders provide direction to get workers to accomplish tasks whereas relationship addresses how leaders interact on a personal level with workers.

What is leadership?

Leadership explains how an individual is able to lead someone that is subjected to him for guidance, counsel and training.

It describe the relationship that exist between followers and the leader and how it influence the learning process.

Therefore, Leadership addresses the means by which leaders provide direction to get workers to accomplish tasks whereas relationship addresses how leaders interact on a personal level with workers.

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under what circumstances would it be efficient to impose a higher abatement standard for a psd region than for a non-attainment region

Answers

Impose a higher abatement standard for a PSD region if marginal social cost equals marginal social benefit at the higher abatement level in the PSD region.

What Are Marginal Social Costs and Benefits of Abatement?

The marginal social cost of abatement is the change in society's total cost of reducing one more unit of pollution.

The marginal social benefit of abatement is the change in benefits associated with reducing one more unit of pollution.

Both the marginal social cost and benefit of abatement are considred as an incentive for the reduction of polluting emissions.

When imposing an abatement standard for a PSD region versus a non-attainment region, it would be more efficient to impose a higher abatement standard for the PSD region than for the non-attainment region if marginal social cost equals marginal social benefit at the PSD region's higher abatement level.

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At work, Mario was trying to show Jenessa the new procedure for stocking the shelves. Jenessa kept working as he explained and quickly became frustrated because Mario kept telling her she was doing it wrong. What could Jenessa have done first to be a better active listener?


She could have read the employee memo that explained the new procedure.

She could have asked clarifying questions to make sure she understood.

She could have stopped what she was doing to give Mario her full attention.

She could have restated what he said in her own words.

Answers

Answer:

She could have stopped what she was doing to give Mario her full attention.

Answer:

C, she could have stopped what she was doing to give Mario her full attention.

Explanation:

Good luck on your test:)

When creating video marketing content on a budget, what is the first thing you should consider doing?

Answers

Answer:Shooting as much as you can and culling it later

Explanation:

A UCF graduate has two job offers. Job 1 pays $35,100 with a $5,000 non-taxable benefit, while Job 2 pays $34,900 and has a $5,700 non-taxable benefit. What is the PRE-TAX value of each job assuming the g

Answers

Answer:--

Job 1: $41,944 Job 2: $42,717

Explanation:

-Job 1: $40,225 Job 2: $39,802

-Job 1: $42,382 Job 2: $41,706

-Job 1: $41,944 Job 2: $42,717

-Job 1: $43,444 Job 2: $42,917

The pre-tax value of each job assuming the graduate is in a 28% marginal tax bracket is Job 1: $41,944 Job 2: $42,717. Option (c) is correct.

What is Pre Tax value?

Earnings before taxes, often known as pre-tax, refer to your annual income after expenses have been paid but before taxes have been subtracted. A more accurate view of your company's financial status is provided by calculating pre-tax income.

Pretax Income = Gross Revenue – Operating, Depreciation, and Interest Expenses + Interest Income

Gross revenue includes all revenues generated by the business.

Operating expenses include deductions due to depreciation, amortization, and interest expenses.

Pre-tax deductions occur when a company takes money out of an employee's paycheck to pay for benefits before taking money out to pay taxes.

Therefore, Option (c) is correct.

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Your question is incomplete, the complete question is ;

A UCF graduate has two job offers. Job 1 pays $35,000 with a $5,000 non-taxable benefit, while Job 2 pays $34,800 and has a $5,700 non-taxable benefit.

What is the PRE-TAX value of each job assuming the graduate is in a 28% marginal tax bracket? (Round to the nearest dollar)

-Job 1: $40,225 Job 2: $39,802

-Job 1: $42,382 Job 2: $41,706

-Job 1: $41,944 Job 2: $42,717

-Job 1: $43,444 Job 2: $42,917

David realizes that he needs money to start a bookstore. If he decides to
obtain funds through debt financing, what will his company have to do?
A. Collect government sales tax
B. Pay its workers
C. Pay funds to more than one owner
D. Pay loans

Answers

If David decides to obtain funds through debt financing, the company would have to D. Pay loans.

What happens when debt financing is used?

When a company uses debt financing, it means that they are borrowing money from institutions and investors in the form of loans.

As time goes on, they will have to pay back these loans which includes the amount they borrowed and some interest.

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Which best explains how the overproduction of goods in the 1920s affected consumer prices and the economy?.

Answers

Prices fell as consumer demand decreased, and the economy slowed down. Which best explains why people failed to make their promised payments on items during the 1920s? They bought too much.

Amounts received in advance from customers for future products or services: Multiple Choice Are revenues. Increase income. Are liabilities. Are not allowed under generally accepted accounting principles (GAAP). Require an outlay of cash in the future.

Answers

The amounts received in advance from customers for future products or services C. are liabilities.

What is a liability?

A liability is a financial obligation owed by an entity to another.

A liability results in the fulfillment of a future financial obligation.

The future financial obligation involves the payment of economic benefits or resources to the other entity.

Thus, the amounts received in advance from customers for future products or services C. are liabilities.

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oh your a rapper, huh?
rhyme orange with banana

Answers

Answer:

I'm not a rapper- but a writer.

Explanation:

So I shall try ^-^

I'm nothing small,

I'm nothing shy.

I like oranges, nanana,

You like bananas.

We're not the same,

we're nothing close.

Wow thats so bad.

In liability insurance, the maximum amount that the coverage will pay for loss to any one person regardless of overall policy limits, is known as the:

Answers

Answer:

Insurance coverage limit

Explanation:

have a good day

A prime example of a Special Economic Zone, located adjacent to Hong Kong, is the city of Group of answer choices Guangzhou Beijing Shenzhen Chengdu Shanghai

Answers

The city of Shenzhen is a prime example of a Special Economic Zone that is located adjacent to Hong Kong,

What is a Special Economic Zone?

These are zones that serves as an area of business and trade which are different from the rest of the country.

Some other examples of a Special Economic Zones includes Shannon Airport in Ireland, Dubai South in UAE, Xiamen in China etc

Therefore, the Option C is correct.

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The four utilities offered to consumers through retailing are:.

Answers

selling, renting, and providing of products and services to ultimate consumers for
personal, family, or household use.

A bill that deals with such a diverse set of unrelated issues as environmental issues, tax issues, and criminal justice issues is likely to be a(n)

Answers

A bill that deals with such a diverse set of unrelated issues as environmental issues, tax issues, and criminal justice issues is likely to be an Omnibus bill

What is an Omnibus Bill?

An omnibus bill is a bill that covers divers issues which is coupled into one document.

It is a single document which is accepted in a single vote by a legislature but encompasses several measures into one or combines diverse subjects.

Due to their large size and scope, omnibus bills limit opportunities for debate and scrutiny.

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Things that you value that are stored digitally, such as digital photographs or
gift card codes, are
O A. cryptocurrencies
O B. digital assets
O C. biometrics
O D. digital devices

Answers

The answer is D
Ik this cause I took the test

Which type of cooperative organization would attract people who needed help preparing their income tax returns?.

Answers

The service cooperative is the  type of cooperative organization would attract people who needed help preparing their income tax returns.

What is a service cooporative?

This is a coorperative or a consumer organization that are engaged in the fulfilling of needs that exists in a society.

Finance , utility and housing coorperaives are examples of this type of cooperative.

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