Pnb industries has 20 million shares of common stock

Assignment Help Accounting Basics
Reference no: EM13392696

PNB Industries has 20 million shares of common stock outstanding with a market price of $18.00 per share. The company also has outstanding preferred stock with a market value of $50 million, and 500,000 bonds outstanding, each with face value $1,000 and selling at 97% of par value. The cost of equity is 15%, the cost of preferred is 12%, and the cost of debt is 8.50%. If PNB's tax rate is 40%, what is the WACC

Reference no: EM13392696

Questions Cloud

Explain how do the changing technology and the falling : research a multinational corporation. then answer the following questions1 how do the changing technology and the
Calculate how much has to be in your account before the : bull calculate how much has to be in your account before the first withdrawal at age 64. 2 pointsbull calculate how
Describe how water is allocated in western us and how this : 1 define the sustainability criterion as used by tietenberg. what does this criterion say about fairness to future
Gather three years worth of financial statements for your : gather three years worth of financial statements for your firm.nbsp include the balance sheet income statement and cash
Pnb industries has 20 million shares of common stock : pnb industries has 20 million shares of common stock outstanding with a market price of 18.00 per share. the company
Write a one-to-two page paper about the specific chosen : business etiquette is an important component for business professionals to consider. you may already work in a business
The operations manager and the warehouse manager are the : you are a new member of the operations team of a midsize manufacturing company with 500 employees. the decision makers
What are the five steps required for effective product : what are the five steps required for effective product positioning? give an example of a product-positioning matrix for
Castro industries purchased 21600 of merchandise on : castro industries purchased 21600 of merchandise on february 1 2014 subject to a trade discount of 5 and with credit

Reviews

Write a Review

Accounting Basics Questions & Answers

  1 haywood company sells a single product with a

1. haywood company sells a single product with a contribution margin of 5 per unit fixed costs of 74400 and sales for

  Prediction of future tax payments

What type of inflation accounting do you favor under high inflationary periods? Do you think tax allocation can improve the prediction of future tax payments in the short run? What are the economic consequences of SFAS No.87?

  The amount of cash on a company''s balance sheet

Which of the following actions are most likely to directly increase cash as shown on a firm's balance sheet? Explain and state the assumptions that underlie your answer.

  Compute tax liability

The Andersons retain you to compute their tax liability for 2007. They are expecting to pay less tax than usual for several reasons. First, both became 65 during the year.

  Auditors report as to consistency

Which of the following requires recognition in the auditor's report as to consistency?

  Allocated and actual overhead directly to cost of goods sold

Prepare a journal entry to write off the difference between allocated and actual overhead directly to Cost of Goods Sold. Be sure your journal entry closes the related overhead accounts.

  Case study of wild flowers

Wild's Flowers sells $400 of flowers for a wedding and the customer pays with a bank credit card (e.g., VISA). Wild's Flowers must pay 3% to the credit card company for credit card transactions.

  Affecting the election

Mary, a U.S. citizen owned 25% of the stock of Floran Corporation, an electing S corporation. At the time of her death, the Floran stock may go to all the following without affecting the S election except

  A tomorrows electronic center began october with 90 units

a tomorrows electronic center began october with 90 units of inventory that cost 70 each. during october the store made

  Account payable cycle-cash conversion cycle

Obtain at least two years of financial information pertaining to General Motors company from its most recent annual report (10-K).

  Investment gains and losses

Discuss how we account for investment gains and losses. Is there any controversy here? What is it and why?

  Activity-based costing approach

Using the activity-based costing approach, determine the overhead cost per unit for each product.  Prepare a Schedule of Expected Cash Collections for November and December.    Prepare a Merchandise Purchases Budget for November and December.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd