counterweight company has debt outstanding with a coupon rate of 4.5 percent and a yield to maturity of 7.5 percent. what is the aftertax cost of debt if the tax rate is 22 percent? assume all interest is tax deductible. multiple choice 7.02% 3.51% 5.85% 2.93% 11.70%

Answers

Answer 1

The formula to calculate the after-tax cost of debt is:

after-tax cost of debt = cost of debt × (1 − tax rate)

The answer is 5.85%. (option b)

The counterweight company's after-tax cost of debt is 5.85 percent if the tax rate is 22 percent. Here's how to calculate it:

Cost of debt = Yield to maturity = 7.5 percent

Tax rate = 22 percent

After-tax cost of debt = cost of debt × (1 − tax rate)

= 7.5% x (1-0.22)

= 5.85%

Therefore, the main answer is 5.85%.

Counterweight Company has a debt outstanding with a coupon rate of 4.5 percent and a yield to maturity of 7.5 percent.

If the tax rate is 22 percent, what is the after-tax cost of debt?

Assumptions: All interest is tax-deductible.

Formula:

After-tax cost of debt = Cost of debt x (1 - Tax rate)

Calculation:

First, we need to calculate the cost of debt.

Cost of debt = Yield to maturity = 7.5 percent

Next, we will find the after-tax cost of debt.

After-tax cost of debt = Cost of debt x (1 - Tax rate)

= 7.5% x (1 - 0.22)

= 7.5% x 0.78

= 5.85%

Therefore, the main answer is 5.85%.

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Related Questions

what level of market coverage is typically used for products like honest tea beverages?

Answers

The level of market coverage that is been utilized in marketing some products such as honest tea beverages is Intensive distribution

Intensive distribution can be regarded as form of marketing strategy whereby a company tries to sell its product using small vendor and at times  big store.

It  helps in the creation of brand awareness of the product which later result to higher sales. This method is been used fir products such as soft drinks, cigarettes.

Therefore, Intensive distribution utilize retailers in distribution of goods

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When will the Mini Toolbar appear?

when you type text
when you press the Delete key
when you select text
when you first open a file

Answers

Answer:

It is C on edge 2021

Explanation:

Answer:

(c) when you select text

Explanation:

The tool bar appears when you select text to provideoptions depending on what you would like to do with the text.

______ Is a market in which a large number of suppliers compete with each other to satisfy the needs and wants of a large numbers of consumers at a competitive price.???

Answers

Answer : Monopolistic competition

Answer:

Monopolistic Competition

Explanation:

In a monopolistic competitive market, there are large numbers of sellers who do not sell identical products instead they sell differential products. They compete with each other at a competitive price. The products could be differentiated in many ways including quality, style, location and even brand name. Since they compete at a competitive price, if there is a substantial rise in the price of any of the products, the buyers could quickly shift from one product to another. The most crucial factor behind product differentiation is because of geographical factors. Under a monopolistic competitive market, the sellers do not have any influence over customer loyalty and limited control over the price.

what is 1635436743 times 76354

Answers

Answer:

1.2487214e+14

Explanation:

The 2014 balance sheet of Sugarpova's Tennis Shop, Inc., showed long-term debt of $6.3 million, and the 2015 balance sheet showed long-term debt of $6.5 million. The 2015 income statement showed an interest expense of $220,000. During 2015, the company had a cash flow to creditors of $20,000 and the cash flow to stockholders for the year was $75,000. Suppose you also know that the firm's net capital spending for 2015 was $1,480,000, and that the firm reduced its net working capital investment by $91,000

Answers

Answer:

$1,484,000

Explanation:

For calculation of operating cash flow first we need to compute the cash flow from assets which is shown below:-

Cash flow from assets = Cash flow to creditors + Cash flow to stockholders

= $20,000 + $75,000

= $95,000

Cash flow assets = OCF - Net capital spending - Change in net working capital

= $95,000 = OCF - $1,480,000 - (-$91,000)

= $95,000 = OCF - $1,480,000 + $91,000

= $95,000 = OCF - $1,389,000

OCF = $1,484,000

Corporate executives often object to the use of open-source software because it lacks formal technical support, even though information and solutions regarding the software are usually readily available online.


A. True

B. False

Answers

Answer:

A. True

Explanation:

When the open source software used by the corporate executives so it would be lead to the lacking of technical support i.e. formal also the information and its solutions would be available online

So the given statement is true as the open source software deals with the source code that should be released in a license where the copyright holder would granted the users to have the right to use the same

To re-enter the u. S. , your dissa re-entry signature must have been issued within how many months within the re-entry?.

Answers

To re-enter the US, your Unites States Visa re-entry signature must have been issued within 12 months

The United States Visa provides legal entry into the country and laws and regulations around immigration govern how long a person can remain in the country legally.

The rules can be different depending on your nationality, legal status in the US, immigration process status, etc.

However, for someone who is studying in the United States on a Student Visa, The I-20/DS-2109 re-entry signature must be issued within 12 months.

If for any reason, they enter the United States after these 12 months have passed, they would need a new travel signature for valid entry.

Most students will need to submit a new application for an I-20 request form for a new travel signature.

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How can a company hide 2000$ of debts in a double entry journal accounting….. using debits and credits

Answers

Double entry is an accounting term stating that every financial transaction has equal and opposite effects in at least two different accounts.

Which of the following types of work do human services workers conduct?

A. They deliver services to people who need them.
B. They observe and analyze computer informational technology systems.
C. They conduct research for disease prevention.
D. They study the travel habits and patterns of tourists.

Answers

The type of work that human services workers conduct is A. They deliver services to people who need them.

What is human services?

It should be noted that human services refers to the services that are given to people such as teaching, barbing, etc.

In this case, the type of work that human services workers conduct is that they deliver services to people who need them.

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Look at the equation framework.

3 empty boxes show the parts of an equation. The first box = the second box minus the third box.
Which of the following lists the proper placement of terms, from left to right, to complete the equation?

revenue, profit, opportunity cost
profit, revenue, production cost
production cost, profit, revenue
opportunity cost, revenue, profit

Answers

Answer:

profit, revenue, production cost

Explanation:

Profit is the rewards or gains realized for engaging in business activities. A business is profitable when revenue is more than the expenses.

Revenue is the income generated from the normal business activities of selling goods and services.

Production costs are the expenses incurred in making goods meant for sale.

Answer:

B

or

profit, revenue, production cost

Explanation:


Conducting a search of the store is part of store closing duties. Why?

Answers

Hello there! Conducting a search of the store is part of store closing duties because it is necessary to ensure:

1. Everything is in place

If things are not in place in a store, things would be very messy when opening the store the next day. Conducting a search of the store to see if everything is in place also ensures that no merchandise was stolen, and if so, persecution would be followed through with accordingly.

2. There is nobody trespassing/lurking

Conducting a search of the store is part of store closing duties because it assures workers that nobody is lurking in the shadows or intruding without the attention of any employee. Trespassing is illegal in most places, and it is a severe felony in some places. Whenever a store attendant is unaware of somebody who is in the store without permission, countless things can happen that do not work in favor of benefitting the business. However, conducting a search of the store during closing time would eliminate this concern.

If you need any extra help, let me know and I will gladly assist you.

How important is money

Answers

Answer:

very important

Explanation:

money is a global income source for everyone. we all have different types but it is all still money. now say one country got rid of money and had people pay for stuff using other things. if china did that lots of different countries wouldn't be able to get stuff from there unless they had so much of that product they could just give it up.

Which of these questions will an HR manager most likely face in a company with a strategic allance strategy? How can we streamline our combined forces? How can we develop teamwork across our companies? What training is needed as we diversify beyond our core business? Should we hire or train and develop our required employees? Complete the following table by selecting the business strategy most likely associated with each hR action. Use your knowledge of strategic HR management to answer the following question. A food processing company based in 5 t. Louis is downsizing due to competitive pressures, her must support this strategr by conducting workshops on work-life balance. administering a cost-of-living adjustment for all employees. aggressively recruiting new workers. ensuring compliance with applicable laws and regulations during the layoffs. Use your knowledge of strategic HR management to answer the following question. To better execute its strategy, a consumer products company creates an action plon that emphasizes organizational connectivity with the evterial environment as well as predicting and reacting to changes as they occur. Which of Honeywell CEO Larry Bossidy's "4As" is the company empioving in: this scenario? ablity architecture agility alignment

Answers

The HR manager in a company with a strategic alliance strategy is most likely to face the following question: "How can we develop teamwork across our companies?"

In a company with a strategic alliance strategy, one of the main questions an HR manager is likely to face is how to develop teamwork across the companies involved in the alliance. This question arises because strategic alliances involve collaboration and integration between different organizations. Developing teamwork is crucial for effective communication, coordination, and alignment of goals among the alliance partners. The HR manager may need to implement initiatives such as team-building activities, cross-functional projects, shared training programs, and regular communication channels to foster collaboration and teamwork across the companies involved.

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how did simon cowell get famous

Answers

Answer:

After some success in the 1980s and 1990s as a record producer, talent scout and consultant in the UK music industry, Cowell came to public prominence in 2001 as a judge on Pop Idol, a show which he and its creator Simon Fuller successfully pitched to ITV Controller of Entertainment Claudia Rosencrantz.

Explanation:

answer =

worked as a record producer, talent scout & consultant within UK music industry

before producing the hit British TV show Pop Idol and it’s U.S counterpart, American Idol -

Cowell’s scathing comments were famous during his nine seasons as a judge on American Idol

He has success the year of 1980s & 1990s - he came to the Public prominence in 2001 asa huge on Pop Idol / A show which he and its creator Simon Fuller successfully pitched to ITV controller of Entertainment Claudia Rosencratz .

What does Investing mean?!

Answers

Answer:

It means "expend money with the expectation of achieving a profit or material result by putting it into financial plans, shares, or property, or by using it to develop a commercial venture."

Explanation:

don't have an explanation

Answer:

expend money with the expectation of achieving a profit or material result by putting it into financial plans, shares, or property, or by using it to develop a commercial venture.

Explanation:

I hope this help

if the government issues each firm a non-tradable permit to produce 700 tons of pollution per year, what will be the cost of pollution reduction?

Answers

if the government issues each firm a non-tradable permit to produce 700 tons of pollution per year, the cost of pollution reduction will be $700.

What is pollution permits?

Pollution permits involve giving firms a legal right to pollute a certain amount e.g. 100 units of Carbon Dioxide per year.If the firm produces less pollution it can sell its pollution permits to other firms.However, if it produces more pollution it has to buy permits from other firms or the government.This creates a market for pollution permits with the price set by demand and supply.The aim of pollution permits is to provide market incentives for firms to reduce pollution and reduce the external costs associated with it. For example, it is argued carbon dioxide emissions contribute towards global warming.Pollution permits can also be a way for the government to raise revenue, by selling firms these permits to allow pollution.

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According to Mr. Cochran, there is a strong, significantly positive relationship between diversity and corporate innovation. True/ False

Answers

False, Diversity and corporate innovation have a tenuous, markedly inverse relationship.

Corporate innovation is the process by which a company experiments with modern methods, tools, approaches, and opportunities in order to make its current business model more competitive. Corporate innovation is comprised of a number of key concepts, including problem-solving, leadership, collaboration, and entrepreneurship. Corporate innovation is the process by which companies integrate fresh innovation ideas into their existing organisational frameworks. Established companies that engage in corporate innovation frequently have a team focused on these initiatives. Given that one of the main objectives of business innovation is to properly deploy a new technology.

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You are offered a trend report for purchase at $500. Last year you overbought T-shirts by 300 units at $5 each and had to donate them. If the trend report eliminates this overbuy, is it worth the price?

Answers

If the purchase of the trend report will eliminate the overbuy, it is worth the price.

The overbuy cost the company $1,500 last year.  The cost of the trend report is $500.  Though, the cost of under-supply could help in making better decisions.

Data and Calculations:

Cost of trend report = $500

Cost of T-shirts overbought = $1,500 (300 x $5)

Thus, if using the trend report eliminates the overbuy, it is certainly worth it.

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Answer: Yes. It is worth it

Explanation:

When a company decides to minimize risk and enter a global market by shipping its products to buyers in other countries, this is known as

Answers

When a company decides to minimize risk and enter a global market by shipping its products to buyers in other countries, this is known as exporting.

Exporting is a common strategy used by companies to expand their customer base and increase sales revenue. However, companies must consider various factors such as logistics, regulations, and cultural differences before entering a foreign market. By carefully planning and executing an exporting strategy, companies can effectively minimize risks and reap the benefits of global trade. Exporting is a common strategy for businesses looking to expand into international markets, as it allows them to reach new customers while reducing some of the risks associated with entering a foreign market directly.

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Hannah makes delicious baked goods but has no retail space. She has contracted with a local grocer to sell her wares in the grocery store. This arrangement is known as a(n)

Answers

The arrangement in which she has contracted with a local grocer to sell her wares in the grocery store is known as a consignment agreement.

A consignment agreement is a business arrangement where one party, known as the consignor (in this case, Hannah), provides goods to another party, known as the consignee (the local grocer), for the purpose of selling them on behalf of the consignor. The consignor retains ownership of the goods until they are sold, at which point the consignee pays the consignor a predetermined share of the proceeds.

In this case, the specific terms and conditions of the consignment agreement would outline the percentage or amount of the sale proceeds that Hannah would receive for her baked goods. This could be a fixed percentage, a predetermined amount per unit sold, or another mutually agreed-upon arrangement.

By entering into a consignment agreement with the local grocer, Hannah can leverage the grocer's retail space to sell her baked goods without needing to secure her own retail space. This arrangement allows her to reach a broader customer base and potentially increase sales while minimizing the financial risks associated with starting a physical retail business.

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the purpose of _______ is to build selective demand.

Answers

Persuasive advertising serve as kind of advertising that build selective demand.

Persuasive advertising can be regarded as a form of product promotion which convince the potential customer in a persuasive manner to purchase a specific product.

It is a kind of advertising that bring about Selective demand whereby demand for a specific brand is been set as a result of the advert to the potential customer.

Therefore, Persuasive advertising is the correct term.

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Utilitarianism is an approach to ethics that means. A. Fairness is the fundamental aspect of ethical conduct and people in a dispute should look at the situation outside of their own interests in the outcome to decide what is right. B. Journalists often face conflicts among ethical principles in the course of their work and must often make difficult decisions. C. Whatever does the most good for the most number of people is best. D. Not all ethical precepts can be applied in all situations, but they do provide useful guidelines for media professionals in their behavior.

Answers

Answer:

C. Whatever does the most good for the most number of people is best.

Explanation:

Utilitarianism (utilitarian ethics) can be defined as a theory of morality or ethical theory that typically involves engaging in actions that facilitate pleasure, joy or happiness while completely opposing any action capable of causing harm and unhappiness.

Basically, utilitarianism (utilitarian ethics) considers an action to be right or morally correct if it produces genuine happiness or joy in the mind of a large number of people in an organization, group or society.

The three (3) main principles (axioms) of utilitarianism (utilitarian ethics) include the following;

I. The only thing with an intrinsic value is pleasure or happiness.

II. If an action promotes happiness or pleasure, then it is right; it is wrong if it causes harm or unhappiness (sadness).

III. The happiness of everyone in a group or society should count equally.

This ultimately implies that, utilitarianism is a philosophical approach to normative ethics that means whatever does the most good for the most number of people is best.


Which of the following is not an example of professional behavior
?

Answers

What are the answers?

the verandas u.s. subsidiary was turned down when it tried to borrow from a u.s. bank. the bank manager suggested that the parent firm deposit money with the u.s. bank's dutch branch, and then the u.s. bank's home office would lend the money to the u.s. subsidiary. this type of arrangement is known as a(n)

Answers

This type of arrangement is known as Eurocurrency loans or Eurodollar loans. Eurocurrency refers to any currency that is held outside its country of origin.

Eurocurrency loans are loans made in a currency other than the currency of the country where the bank is located. In the example you provided, the parent firm would deposit money in a bank located outside the US, which is the Dutch branch of the US bank, and then the home office of the US bank would lend the money in US dollars to the US subsidiary. This allows the subsidiary to obtain funding in US dollars without having to borrow from a US bank directly. Eurocurrency loans are often used to obtain financing at a lower cost than domestic loans, as they are subject to less regulation and taxation.

Eurocurrency loans also have some risks, such as exchange rate risk, interest rate risk, and counterparty risk. Exchange rate risk arises because the loan is denominated in a currency other than the borrower's functional currency.

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The process of controlling and making decisions about a business is called:
O Leadership
O Management
O Administration

Answers

Answer:

B. Management.

Explanation:

Management can be defined as the process of controlling and making decisions about a business.

The management comprises of top executives, board of directors or managers who generally control the affairs of a business firm or company.

Basically, they are saddled with the responsibility of defining the policies, set of rules, standards, and procedures so as to preserve or protect the company's assets, boost efficiency, enhance financial accountability, and prevent fraudulent behaviors among the employees.

Also, the decision-making process or responsibilities is essentially vested on the management of a business. Therefore, the management is typically responsible for the success, growth and development of their business.

Which of the following is essential for a firm to gain a sustained competitive advantage over its competitors?

Answers

Answer:

Down Below

Explanation:

The resources must be valuable, rare, imperfectly imitable, and non-substitutable.

The Plastics Division of Weston Company manufactures plastic molds and then sells them to customers for $70 per unit. Its variable cost is $30 per unit, and its fixed cost per unit is $10. Management would like the Plastics Division to transfer 10,000 of these molds to another division within the company at a price of $40. The Plastics Division has excess capacity of 10,000 units for plastic moldings. What is the minimum transfer price that the Plastics Division should accept

Answers

Answer:

$30

Explanation:

Based on the information given in a situation where the Plastics Division has 10,000 units as the excess capacity for plastic moldings in which the VARIABLE COST is $30 per unit which means that the MINIMUM TRANSFER PRICE that the Plastics Division should accept will be the

VARIABLE COST per unit amount of $30.

Therefore the MINIMUM TRANSFER PRICE that the Plastics Division should accept is $30

Select the correct answer from each drop-down menu.
Which type of flowchart scheduling technique has a fixed duration of production activities? In which type of flowchart are they probabilistic?
The
type of flow chart has a fixed duration for production activities. The
type has a probabilistic duration for production activities.

Answers

Whereas the random (or probabilistic) form of flowchart scheduling approach has a probabilistic length for production activities, the deterministic type has a definite time for product activities.

How do you define a product?

Definition: The object being sold is referred to as a product. Goods can be either services or things. It might show up physically, virtually, or online. Every product has a cost associated with it, as well as a price. The price that can be charged is influenced by the market, the quality, the promotion, and the target audience.

Why is by-product important?

By-product definition in English. anything that results from the creation of another item, or something unanticipated that occurs as a result of another thing.

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mcdonald's placement of a small toy in each happy meal as a reward for coming to the fast-food restaurant and ordering its food is based on which theory of learning?

Answers

The McDonald's placement of a small toy in each happy meal as a reward for coming to the fast-food restaurant and ordering its food is based on the Operant Conditioning theory of learning.

This theory states that behaviors that are rewarded are more likely to be repeated than behaviors that are not. Thus, the toy in each happy meal serves as a positive reinforcement, making children more likely to want to return to McDonald's and request a happy meal.

According to Operant Conditioning, the most important factors that shape human behavior are positive and negative reinforcement and punishment. In McDonald's case, the toy serves as positive reinforcement, encouraging children to want to return to the fast-food restaurant and order food.

As children receive the happy meals and toys, they develop an association between eating at McDonald's and getting a toy. This association makes them more likely to want to return to the fast-food restaurant, and the cycle continues. Moreover, this theory of learning has been utilized by numerous other organizations, including schools and workplaces, to encourage the development of specific behaviors.

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A person performs a cost-benefit analysis in order to:
A. calculate the expenses of multiple businesses competing in the
same market.
B. evaluate the possible positive and negative effects of different
economic decisions.
C. analyze economic data to reach general conclusions about a
country's economy.
D. determine the tax rates a business will pay depending on its
profits in a year.
o

Answers

Answer:

B. evaluate the possible positive and negative effects of different economic decisions.

Explanation:

Cost-benefit analysis (CBA) is used to examine and compare the cost associated with a project or task and the benefits derived from it.

Simply stated, cost-benefit analysis is a form of utilitarianism commonly used by individuals, business firms and government in the decision-making process, as all the cost incurred are determined and analyzed.

This ultimately implies that, it may be used to determine how changes in differing levels of activities such as costs and volume affect a company's operating income and net income.

Cost-benefit analysis (CBA) sums the total cost associated with a project (activity) and compares this cost against the total benefits that would be generated. Thus, it helps in the decision-making process by comparing the net present value (NPV) of the cost of a particular project with the net present value (NPV) of its benefits.

Hence, a person performs a cost-benefit analysis in order to help him or her evaluate the possible positive and negative effects of different economic decisions with respect to an investment, project, activity, or programme.

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