Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
The Goodsmith Charitable foundation, which is tax-exempt, issued debt last year at 9 percent to help finance a new playground facility in Los Angeles. This year the cost of debt is 25% higher; that is, firms that paid 11 percent for debt last year will be paying 13.75 percent this year.
a) if the goodsmith foundation borrowed money this year, what would the after tax cost of debt be, based on its cost last year and the 25% increase?
b) if the receipts of the foundation were found to be taxable by the IRS (at a rate of 34% because of the involvement in political activities), what would the aftertax cost of the debt be?
A manufacturer offers an inventor the choice of two contracts for the exclusive right to manufacture and market the inventor’s patented design. Plan 1 calls for an immediate single payment of $261464. Plan 2 calls for an annual payment of $14790 plus..
If the required return is 13 percent and the company just paid a $2.75 dividend, what is the current share price?
Your firm is contemplating the purchase of a new $660,000 computer-based order entry system. The system will be depreciated straight-line to zero over its six-year life. It will be worth $51,000 at the end of that time. If the tax rate is 40 percent,..
If marketers attempt to increase the percent of industry sales their product will attract, they are using:
Dicker Company has the following pattern of financial data for Years 1 and 2: Calculate earnings per share and comment on the trend.
You have been assigned a research project for a new client on the issue of tax compliance. The research results for the client fall under a temporary regulation. Evaluate and describe two (2) types of temporary regulations and explore the effects on ..
Essary Enterprises has bonds on the market making annual payments, with eight years to maturity, a par value of $1000, selling at $948. At this price, the bonds yield 5.9%. What must the coupon rate be at on the bonds?
Difference between higher and lower cost financing. Corporations can achieve a lower cost of financing when their bonds are rated highly and a higher cost of financing when their bonds are low rated
What is the present value of a five period annuity of $1,000 if the interest rate is 10% and the first payment is made today?
You want to quit your job and go back to school for a law degree 4 years from now, and you plan to save $3,500 per year, starting one year from now. You will make 4 deposits in an account that pays 5.7% interest. Under these assumptions, how much wil..
What is the present value of an ordinary annuity that pays $40 every 6 months, for 10 years, if the interest rate is 8.0 percent per year, compounded semi-annually?
Draw a time line to show the cash flows of the project and compute the project's payback period, net present value (NPV), profitability index (PI), and internal rate of return (IRR).
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd