Colorado Computer is considering expansion into the computer disk drive manufacturing business to be paid for with the $10,000,000 cash that can be raised from the sale of 30-year bonds. The expansion project being evaluated has been determined to have an internal rate of return (IRR) of 12.5%. Colorado Computer has a 16% cost of equity capital and investors are currently receiving a 12% yield to maturity on Colorado's 30-year bonds. What is the company's cost of capitals? (Assume that Colorado's target capital structure is 60% debt and 40% equity, it pays 30% corporate income taxes, and flotation costs are to be ignored.) Based on this information, Should Colorado enter the disk drive manufacturing business at this time?Why?

Jansen company borrowed $12,000 on a 1-year, 5 percent note payable from the local bank on april 1. interest was paid quarterly, and the note was repaid one year from the time the money was borrowed. calculate the amount of cash payments jansen was required to make in each of the two calendar years that were affected by the note payable.

Shareholders of tesla recently expressed concerns that elon musk should give up some of his power on tesla's board by appointing two independent directors. which of the following is not a reason why elon musk is perceived to have significant power over tesla's board? 1. he is the founder of the firm and a successful entrepreneur, thus board members may be hesitant to challenge him.2. as the ceo and chairman of the firm he can easily determine what the board should discuss and how it should vote on strategic issues.3. all board members, except for kimbal, have been appointed to the board during elon's tenure.4. many of the firm's directors are outsider investment managers whose interests would not be aligned with those of firms' shareholders.

Your uncle borrows $53,000 from the bank at 11 percent interest over the nine-year life of the loan. use appendix d for an approximate answer but calculate your final answer using the formula and financial calculator methods. what equal annual payments must be made to discharge the loan, plus pay the bank its required rate of interest