ABC Corp. has 2,000 bonds outstanding with a $1,000 face value, an 9 percent coupon, 8 years to maturity, annual interest payments, and sells at $1,105.38. The firm also has 40,000 shares of common stock outstanding at a market price of $85 a share and a beta of 0.67. The risk-free rate is 4 percent, the market return is 15 percent, and the tax rate is 20 percent. What is WACC?

Answers

Answer 1

The value of WACC is 6.72%

what is WACC?

WACC is calculated by multiplying the cost of each capital source (debt and equity) by its relevant weight by market value, and then adding the products together to determine the total.

WACC=[(Market value of Equity*cost of equity+ Market value of Debt* post tax cost of debt)/(Market value of Equity+ Market value of Debt)]

Market value of Equity= 40,000*$85=$3,400,000

Cost of equity=Risk free return+ Beta equity*market retrun

=4 +0.67*15

=7.35

Market value of Debt

=2000*1105.38

=2,210,760

Post tax rate of debt

=9*80(1-20)

=0.0576= 5.76%

WACC= [$3,400,000* 7.35+ 2,210,760 *  5.76%]\ $3,400,000+2,210,760

=6.72%

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Related Questions

(URGENT) Madelina wants to make a prediction using a linear model with a correlation coefficient of 0.55. Which statement best describes how accurate she can expect her prediction to be? Her prediction will probably be close to the actual value. Her prediction will be unlikely to be close to the actual value. Her prediction will be somewhat likely to be close to the actual value. Her prediction will very likely be close to the actual value.

Answers

A correlation coefficient of 0.55 indicates that her prediction will probably be close to the actual value.

What is correlation coefficient?

The correlation coefficient shows the relationship between two variables. It can be used to describe how to variables increase or decrease.

Thus, a correlation coefficient of 0.55 indicates that her prediction will probably be close to the actual value.

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A line that passes through the point (x,y), with a y-intercept of b and a slope of m, can be represented by the equation y = mx + b.
A line is drawn on the coordinate plane that passes through the point (3,-6) and has a slope of 4. The y-intercept of the line is .

Answers

Answer:

b= -18

Step-by-step explanation:

x=3, y= -6, m=4

y=mx+b

-6 = 4 x 3 + b    Solve for b

-6 = 12 + b

-6-12 = b

b= -18

Answer:

b = -18

Step-by-step explanation:

Slope y-intercept form: y =mx +b

    Slope = m = 4

Plugin the value of slope in the above equation.

    y = 4x + b

Now, the line passes through the point (3 , -6). Substitute x and y coordinates in the above equation.

     -6 = 4*3 + b

     -6 = 12 + b

      b = -6 - 12

      b = -18

[tex]\sf \boxed{\bf y-intercept = -18}[/tex]

What is the simple interest on N450 for 2 years at 3%?

Answers

Answer:

Simple Interest = PTR/100

P=450

T=2

R=3%

Simple Interest = PTR/100

=450×2×3\100

=27

Hence the interest is 27.

I need help with this

Answers

Answer:

1. obtuse angle

2. Right angle

3. Adjacent angle

4. Supplementary angle

5. Acute angle

6. Straight line

7. Complementary angle

8. Vertical Angle

9. linear

10. Vertex

Step-by-step explanation:

1. Obtuse angle are angle that measures greater than 90 degree but less and 180 degree

2. Right angle are angle that measures exactly 90 degree

3. Adjacent angle are angles that has a common vertex and share a common side

4. Straight angle is a pair of angle whose sum is 180 degree.

5. Acute angle is an angle greater than 0 degree but less than 90 degree

6. straight line measure exactly 180 degree

7. Complementary angle is a pair of angle whose sum is 90 degree.

8. Vertical Angle is a pair of angle made by intercepting lines with congruent opposite side

9. Linear is a pair of adjacent, supplementary angles.

10. Vertex is an common end point that two rays meet to form an angle.


Find the surface area and lateral surface area of the cylinder. Round your answers to the nearest tenth.
3 yd
Surface area:

Lateral surface area:

Answers

A cylinder is a three-dimensional structure formed by two parallel circular bases. The lateral and the total surface area of the cylinder are 113.1 yd² and 169.7 yd².

What is a cylinder?

A cylinder is a three-dimensional structure formed by two parallel circular bases connected by a curving surface. The circular bases' centers overlap each other to form a right cylinder.

Lateral area of the cylinder = Area of the curved surface

                                             = 2πR × H

                                             = 2 × π × 3yd × 6yd

                                             = 36π yd²

                                             = 113.0973 yd² ≈ 113.1 yd²


The total surface area of the cylinder

         = Area of the two bases + Area of the curved surface

         = 2(π × 3²) + 113.0973 yd²

         = 56.54866 yd² + 113.0973 yd²

         = 169.6459 yd² ≈ 169.7yd²

Hence, the lateral and the total surface area of the cylinder are 113.1 yd² and 169.7 yd².

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CHARLES' LAW CALCULATION.

Answers

1.The temperature will be, T2= 169.8 K

2. The volume if the temperature is 318 K is 0.170 L

What is Charles Law?

Charles's law, a statement that the volume occupied by a fixed amount of gas is directly proportional to its absolute temperature, if the pressure remains constant.

Given: V1= 250 ml=0.25L

V2=150 ml= 0.15 L

T1= 10 °C=283 K, T2=?

Now using Charles law

V1/T1=V2/T2

0.25/283=0.15/T2

T2= 169.8 K

2. T1= 20 °C= 293 K

    V1= 160 cm³

     T2= 318 K

     V2=?

Using Charles Law,

V1/T1=V2/T2

0.16/293=V2/313

0.170 L=V2

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One Solution
No Solutions
Infinitely Many Solutions

2+y=3
−2x − y = −6

Answers

Answer:

it is -6. . . . . . . . . . . . . . . . .. ... . . . . . . .

rectangle with area of 12 square units is dilated by a scale factor of 3. What is the area?

Answers

Answer:

36 units²

Step-by-step explanation:

rectangle with area of 12 square units is dilated by a scale factor of 3. What is the area?

Scale factor = Dimension of the new shape ÷ Dimension of the original shape.

we use the inverse formula

12 * 3 =

36 units²

-----------------------

check

36 : 12 = 3

the answer is good

pls help me with 5,6,7,8,9,10,11.Its 7th grade maths i really need help.I'll
also give brainliest ​

Answers

The missing areas and dimensions of the given squares, rectangles, and triangles are:

2. 36 cm²

3. 21 cm²

4. 9 cm²

5. 5 cm

6. 10 cm

7. 4 cm

8. 8 cm

9. 7 cm

10. 7

11. 10

What is the Area of a Square, Rectangle, and a Triangle?

Area of a square = s²

Area of a rectangle = (length)(breadth)

Area of a triangle = 1/2(base)(height).

2. Area of square = s² = 6² = 36 cm².

3. Area of a rectangle = (length)(breadth) = (3)(7) = 21 cm².

4. Area of a triangle = 1/2(base)(height) = 1/2(3)(6) = 9 cm².

5. Area of a rectangle = (length)(breadth)

60 = (12)(breadth)

Breadth = 60/12

Breadth = 5 cm.

6. Area of a triangle = 1/2(base)(height)

35 = 1/2(7)(height)

Height = (35)(2)/7

Height = 10 cm

7. Area of a square = s²

16 = s²

s = √16

s = length = 4 cm

8. Area of a triangle = 1/2(base)(height)

40 = 1/2(10)(height)

Height = 40/5

Height = 8 cm.

9. Area of a square = s²

49 = s²

s = √49

s = length = 7 cm

10. Area of a rectangle = (length)(breadth)

84 = (12)(breadth)

Breadth = 84/12

Breadth = 7 cm.

11. Area of a triangle = 1/2(base)(height)

35 = 1/2(7)(height)

Height = 70/7

Height = 10 cm.

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It cost a boy $13.50 to take a girl out for the evening. Sixty percent of this was for the theater tickets. What was the cost of each ticket ?

Answers

Problem:

It cost a boy $13.50 to take a girl out for the evening. Sixty percent of this was for the theater tickets. What was the cost of each ticket?

Solution:

60% of $13.50 is 0.6*13.50 = 8.10

Cut this figure in half to get 8.10/2 = 4.05

So the cost of each ticket was $4.05

Answer:

The cost of each ticket is $4.05.

학습을 계속하다

EASY POINTS
NEED HELL ASAP WIT THIS

Answers

Answer:

5

Step-by-step explanation:

You just multiply the indices by the power so 1/6 x 6 = 1 and 5 to the power of 1 is just 5.

Dean started with 5 meters
of yarn. He used 300
millimeters of yarn each day
for 5 days. How many
meters of yarn does Dean
have left?

Answers

Answer:

3.5 meter is the answer.

Answer:

3.5 Meters

Step-by-step explanation:

5 Meters is equivalent to 5000 millimeters

1 day = 300mm

5 days = (300*5)

= 1500 mm

= 5000 mm - 1500 mm

Yarn left = 3500 mm

= 3.5 Meters

AB = 10 in; AD = 6 in

A=

30sqrt3 in2
30 in2
60 in2

Answers

Answer: 30

Step-by-step explanation:

If we were to draw diagonal BD, then we would create two congruent triangles, and we could find the area of each using the formula [tex]A=\frac{1}{2} ab \sin C[/tex].

However, since there are two triangles, we can double this, giving us [tex]A=ab \sin C[/tex].

So, the area is [tex]A=(10)(6)(\sin 30^{\circ})=\boxed{30}[/tex]

Does anyone know how to do this I’m really confused

Answers

Given:Pentagon To find:

The size of the unknown angle "x"

Solution:

The given polygon is a Pentagon so the sum of interior angle will be,

[tex]\large\boxed{Formula: ( n − 2 ) × 180}[/tex]

n means the number of sides

Let's substitute the values according to the formula.

[tex](5-2)×180[/tex]

[tex]=540°[/tex]

Now, we can find the sum of one interior angle.

[tex]\large\boxed{\frac{sum \: of \: interior \: angles}{n}}[/tex]

n means the number of sides.

Let's substitute the values according to the formula.

[tex]x=\frac{540}{5}[/tex]

[tex]\large\boxed{x= 108°}[/tex]

Therefore, the size of the unknown angle "x" is 108°

Find cos 20 if theta is in the first
quadrant and tan 0 = 40/9

Answers

If the value of the angle θ is 77.32°. Then the value of cos 2θ will be the negative 0.90.

What is trigonometry?

The connection between the lengths and angles of a triangular shape is the subject of trigonometry.

The trigonometric equation is given below.

tan θ = 40/9

tan θ = 4.444

Then the angle θ will be

θ = tan⁻¹(4.444)

θ = 77.32°

Then the value of cos 2θ will be

cos 2θ = cos (2 x 77.32°)

cos 2θ = cos 154.64°

cos 2θ = - 0.9036

cos 2θ ≅ - 0.90

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What’s the second step to solving 2x-4=26

Answers

Answer:

The second step is to isolate the variable by multiplication or division

Step-by-step explanation:

so it should be solving the x

Answer:]

A two-step equation is an algebraic equation that takes you two steps to solve. You've solved the equation when you get the variable by itself, with no numbers in front of it, on one side of the equal sign.

:]   Correct me if i'm wrong  :]

How many full 4 2/3 in. Sheets can be cut from 22 1/6 in. Stick

Answers

Answer:

4

Step-by-step explanation:

Because i divided 4 2/3 by 22 1/6 = 4.75 and for full sheets it would be 4

Hope This Helped

EN=NG, which of the following statements CANNOT be true? F M E R NP Q A. MN is a perpendicular bisector. OB. FM = MG O C. Pis a midpoint. O D. MN is a midsegment. G



help dawg ​

Answers

Answer:A. MN is a perpendicular bisector.
Hope that helps

Step-by-step explanation:

The bearing
of P from Q is 0.60°. What is the bearing
of Q from P

Answers

Answer:

MMm mmm mmm mmm sh get wicked mmm mmm mm like what u saying mmm mmm mmm gla mmmm

Step-by-step explanation:

Problem #2
Using the perpetual inventory system, journalize the entries for the following transactions:
a) Sold merchandise on account for $12,000, terms 1/10, n/30. The cost of the merchandise sold was $6,500.
b) Sold merchandise on account for $9,500 to customers who used a VISA card. The cost of the merchandise sold was
$5,300.
c) The customer in a) returned merchandise which was sold for $1,000 and that we had purchased for $780.
d) Purchased merchandise on account for $8,500, credit terms 1/15, n 45, FOB destination. The appropriate company paid
the Freight costs of $500.

Answers

The perpetual inventory system is an inventory management method that records when stock is sold or received in real-time.

How to depict thejournal?

a. Debit Accounts Receivable 12000

Credit  Sales  12000

Debit Cost of Merchandise Sold 6500

Credit    Merchandise Inventory  6500

b. Debit Cash 9500

Credit Sales  9500

Debit Cost of Merchandise Sold 5300

Credit Merchandise Inventory  5300

c. Debit Cash 2900

Credit  Sales  2900

Debit Cost of Merchandise Sold 1700

Credit  Merchandise Inventory  1700

d. Debit Credit Card Expense 385

Credit  Cash  385

e. Debit Credit Card Expense 75

Credit Cash  75

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a circular garden has a diameter of 12 yards whag is the area of the garden use 3.14

Answers

Step-by-step explanation:

the area of a circle is

pi × r²

r is the radius (= half of the diameter) of the circle.

radius in our car is 12/2 = 6 yd

and we are to use 3.14 as pi.

so we get as area

3.14 × 6² = 3.14 × 36 = 113.04 yd²

In how many years will $7000 yield an interest of $4620 at 22% simple interest?

Answers

Answer:

3 Years

Step-by-step explanation:

7000*22% = 1540

4620/1540 = 3

1540 = the yearly interest

so it will take 3 years of $1540 of interest to get $4620.

Normally you would also have to take into account the interest plus the base varible but since it specifically says 7000 it makes it a simple problem.

hope this helped

Please show your work! I'll give you brainliest as well as a 5 star rating, thanks!

Answers

Answer:

281.3

Step-by-step explanation:

If the shapes are similar then the linear scale factor is :

15÷20 = 0.75

The area scale factor will be 0.75²

The area scale factor is 0.5625

500 × 0.5625 = Area of shaded rectangle

Area of shaded rectangle = 281.25

To the nearest tenth = 281.3

Hope you understood and brainliest please

Answer:

[tex]281.3 m^{2}[/tex]

Step-by-step explanation:

I've done this before I have the work attached below in a screenshot. Sorry that it's not much but I hope it helps!

Please feel free to comment, give feedback, ask questions, and correct me if I am wrong!

Have a great day

:)

PLEASE HELP ASAP WILL MARK BRAINLY

Answers

tanØ=Perpendicular/Base

Mark the lines

tanD=BC/BD

Put the values

tanD=√38/√53

Done

Answer:

[tex]\sf \tan(D)=\dfrac{\sqrt{38}}{\sqrt{53}}[/tex]

Step-by-step explanation:

Tangent trigonometric ratio

[tex]\sf \tan(\theta)=\dfrac{O}{A}[/tex]

where:

[tex]\theta[/tex] is the angleO is the side opposite the angleA is the side adjacent the angle

Given:

[tex]\theta[/tex] = DO = √38A = √53

Substituting the given values into the formula:

[tex]\implies \sf \tan(D)=\dfrac{\sqrt{38}}{\sqrt{53}}[/tex]

Evaluate 1/2 X (6 X 4)÷3 + 2 show your work to find the answer pls hurry

Answers

So, when we evaluate 1/2 × (6 × 4) ÷ 3 + 2 = 8

To answer the question, we must use the rules of arithmetic in mathematical operations

What are mathematical operations

Mathematical operations are operation which include

addition, subtraction, multiplication and division.

Rules of arithmetic in mathematical operations

In arithmetic, we follow the rule PEMDAS where

P - parentheses E - exponents M - multiplication D - division A - addition and S - subtraction

So, to evaluate 1/2 × (6 × 4) ÷ 3 + 2, we follow this rule.

So, 1/2 × (6 × 4) ÷ 3 + 2 = 1/2 × 24 ÷ 3 + 2

= 12 ÷ 3 + 2

= 6 + 2

= 8

So,  1/2 × (6 × 4) ÷ 3 + 2 = 8

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A line contains points F, G, H, I, J. The space between F G is 2. The space between H and I is 1. The space between F and I is 7.
If FG = 2 units, FI = 7 units, and HI = 1 unit, what is GH?

Answers

Based on the segment addition postulate, the length of GH is: 4 units.

What is the Segment Addition Postulate?

The segment addition postulate states that if a line segment is divided into smaller parts, the sum of the length of the smaller parts equals the length of the line segment.

FG = 2 unitsFI = 7 unitsHI = 1 unitGH = ?

FI = FG + HI + GH [segment addition postulate]

7 = 2 + 1 + GH

7 = 3 + GH

7 - 3 = GH

4 = GH

GH = 4 units.

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Answer:

B- 4 units

Step-by-step explanation:

what is the smallest number when divided by 24 and 12 leaves remainder 12

Answers

Answer:

The smallest number is two 2

How much will a sum of ¥4000 amount to in 1 1/2 yrs at 10% per annum compound interest,interest being paid half-yearly​

Answers

Answer:

¥4630.50

Step-by-step explanation:

Compound Interest Formula

[tex]\large \text{$ \sf A=P(1+\frac{r}{n})^{nt} $}[/tex]

where:

A = final amountP = principal amountr = interest rate (in decimal form)n = number of times interest applied per time periodt = number of time periods elapsed

Given:

P = 4000r = 10% = 0.1n = 2t = 1.5

Substitute the given values into the formula and solve for A:

[tex]\implies \sf A=4000\left(1+\dfrac{0.1}{2}\right)^{2 \times 1.5}[/tex]

[tex]\implies \sf A=4000\left(1.05\right)^{3}[/tex]

[tex]\implies \sf A=4630.50[/tex]

Answer:

¥4630.50

Step-by-step explanation:

Here,

P = ¥4000n = 1 1/2 = 3/2 yearsr = 10% per annum

ATQ, as well,the interest is payable in half-yearly.

We know that,

[By this formula,it could easily solved]

[tex] \boxed{\rm \: A = P \bigg(1+ \cfrac{ \cfrac{r}{2} }{100} \bigg) {}^{2n} }[/tex]

Substitute the values

[tex]A = 4000 \bigg(1 + \cfrac{5}{100} \bigg) {}^{2 \times \frac{3}{2} } [/tex]

Now solve.

[tex]A = 4000 * (21/20)^3[/tex]

[tex] \implies \: A = 4000 \times \cfrac{21}{20} \times \cfrac{21}{20} \times \cfrac{21}{20} = \cfrac{21 \times 21 \times 21}{2} [/tex]

[tex] \implies \: A = \: \yen \: 4630.50[/tex]

Hence,the sum of ¥ 4000 will be amounted to ¥4630.50 in 1 1/2 years.

[tex] \rule{225pt}{2pt}[/tex]

This question arises:Why we used that formula?

Reason:

The compound interest is calculated half-yearly, the formula changes a little.In this case for r we write r/2 and for n we write 2n because a rate of r% per annum is r/2% half-yearly and n years = 2n half year So this is the reason.

Select the correct answer. The vertices of a triangle are A(7, 5), B(4, 2), and C(9, 2). What is m<ABC​

Answers

Answer: [tex]45^{\circ}[/tex]

Step-by-step explanation:

[tex]\angle ABC[/tex] is formed by [tex]\overline{AB}[/tex] and [tex]\overline{BC}[/tex], so we can begin by finding their slopes.

[tex]m_{\overline{AB}}=\frac{2-5}{4-7}=-1\\m_{\overline{BC}}=\frac{2-2}{9-4}=0[/tex]

This means that:

[tex]\tan \left(\angle ABC \right)=\left| \frac{-1-0}{1-(0)(-1)} \right|\\\tan \left(\angle ABC \right)=1[/tex]

As [tex]\angle ABC[/tex] is acute, this means [tex]m\angle ABC=\boxed{45^{\circ}}[/tex]

This list shows the lengths in feet of the 25 longest bridges in the United States.
1010
1470
1600
2000
2800
1053
1495
1632
2150
3500
1200
1596
1750
2150
3800
1207
1600
1800
2300
4200
1380
1600
1850
2310
4260

Jamie made a frequency table of the bridge data.
U.S. Bridges
Length (ft)
Tally
Frequency
(first interval)
|||| ||
7



(last interval)
||
2
Based on the tallies and frequencies for the first and last intervals, how many intervals of what length did Jamie use?

a.
4 intervals of 1000 feet
c.
6 intervals of 500 feet
b.
5 intervals of 1000 feet
d.
7 intervals of 500 feet


Please select the best answer from the choices provided

A
B
C
D

Answers

The length of the intervals of the given frequency table is

500 ft.

The given list shows the lengths in feet of the 25 longest bridges in the United States.

we have to determine the median and mode of the bridge data.

The median is the middle number of the data set arranged in ascending order.

1010, 1053, 1200, 1207, 1380, 1470, 1495, 1596, 1600, 1600, 1600, 1632, 1750, 1800, 1850, 2000, 2150, 2150, 2300, 2310, 2800, 3500, 3800, 4200, 4260.

The median is 1750.

Mode is the number that appears most often in the data set.

1010, 1053, 1200, 1207, 1380, 1470, 1495, 1596, 1600, 1600, 1600, 1632, 1750, 1800, 1850, 2000, 2150, 2150, 2300, 2310, 2800, 3500, 3800, 4200, 4260

The mode is 1600.

Therefore the correct option is Median: 1750, Mode: 1600

So the length of the intervals of the given frequency table is

500 ft.

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