subject

Business, 01.12.2020 16:20 jbdelarosa

Tool Manufacturing has an expected EBIT of $63,000 in perpetuity and a tax rate of 35 percent. The firm has $170,000 in outstanding debt at an interest rate of 7.9 percent, and its unlevered cost of capital is 12 percent. What is the value of the firm according to MM Proposition I with taxes?

ansver

Answers: 1

Show answers

Another question on Business

question

Business, 22.06.2019 03:40

Your parents have accumulated a $170,000 nest egg. they have been planning to use this money to pay college costs to be incurred by you and your sister, courtney. however, courtney has decided to forgo college and start a nail salon. your parents are giving courtney $20,000 to her get started, and they have decided to take year-end vacations costing $8,000 per year for the next four years. use 8 percent as the appropriate interest rate throughout this problem. use appendix a and appendix d for an approximate answer, but calculate your final answer using the formula and financial calculator methods. a. how much money will your parents have at the end of four years to you with graduate school, which you will start then?

Answers: 1

question

Business, 22.06.2019 11:30

Which of the following is not an example of one of the four mail advantages of prices on a free market economy

Answers: 1

question

Business, 22.06.2019 14:20

For the year ended december 31, a company has revenues of $323,000 and expenses of $199,000. the company paid $52,400 in dividends during the year. the balance in the retained earnings account before closing is $87,000. which of the following entries would be used to close the dividends account?

Answers: 3

question

Business, 22.06.2019 14:40

Which of the following would classify as a general education requirement

Answers: 1

You know the right answer?

Tool Manufacturing has an expected EBIT of $63,000 in perpetuity and a tax rate of 35 percent. The f...

Questions

question

Chemistry, 18.12.2019 06:31

Write the correct lewis dot structure for o2. which statement correctly describes the structure of the whole molecule? a. there is a single bond, a d...

question

Physics, 18.12.2019 06:31

With the travel report file open, on the analysis tab, in the extract group, select direct to open the direct extraction window to find the number of...

question

Business, 18.12.2019 06:31

The successful conveyance of real estate depends on a well-formed contract for sale since the contract dictates the rights and type of deed involved,...

question

Social Studies, 18.12.2019 06:31

Magreed to buy g’s house for $200,000. the closing was to be held on april 5. g did not have all items removed from the home until april 9. m had to s...

question

Social Studies, 18.12.2019 06:31

All of the following are true about qualitative forecasting methods except a. they generally involve the use of expert judgment to develop forecasts....

question

Computers and Technology, 18.12.2019 06:31

the speed limit on a road in germany is 100 kilometers per hour. if there are about 6 miles for every 10 kilometers, howmany miles equal 100 kilometer...

question

Physics, 18.12.2019 06:31

While troubleshooting a network problem, a technician realized it could be resolved by opening a port on a firewall. the technician opened the port an...

question

Health, 18.12.2019 06:31

Why is it a myth that muscle turns into fat when someone stops working out? a. muscle and fat are two different kinds of tissue. b. muscle grows with...

question

Computers and Technology, 18.12.2019 06:31

Write a method called all less that accepts two arrays of integers and returns true if each element in the first array is less than the element at the...

question

Business, 18.12.2019 06:31

Acompany has two departments, y and z that incur delivery expenses. an analysis of the total delivery expense of $9,000 indicates that dept. y had a d...

question

Business, 18.12.2019 06:31

It is january 1 of year 2. sales for harry company for january, february, and march are forecasted to be as follows: january, $200,000; february $40...

question

Social Studies, 18.12.2019 06:31

Yan, a middle-aged woman who immigrated to the u. s. from china, and tracy, a young white woman in her mid-twenties, share an office at a university,...

question

History, 18.12.2019 06:31

With regard to civil liberties during the civil war, president lincoln: . always let courts and judges have the final say. b. suspended the writ of ha...

question

Chemistry, 18.12.2019 06:31

Suppose that 0.48 g of water at 25 ∘ c condenses on the surface of a 55- g block of aluminum that is initially at 25 ∘ c . if the heat released during...

question

Business, 18.12.2019 06:31

Companies a and b have the same total assets, sales, operating costs, and tax rates, and they pay the same interest rate on their debt. however, compa...

question

Business, 18.12.2019 06:31

Xanat is grief-stricken after the death of her mother. consequently, her productivity at work is suffering. humberto, her supervisor, calls her for a...

question

Mathematics, 18.12.2019 06:31

Assume that interest rate parity holds. the u. s. five-year interest rate is 5% annualized, and the mexican five-year interest rate is 8% annualized....

question

Business, 18.12.2019 06:31

While the personal computer industry is flooded and growing with laptops and tablets, malik recently bought a desktop, his first personal computer. he...

question

Computers and Technology, 18.12.2019 06:31

Write a class named book containing: a. three instance variables named title, author, and tableofcontents of type string. the value of ta...

question

Social Studies, 18.12.2019 06:31

Jennifer wants to buy a new coat. she asks her friends to recommend a store and/or a style of coat. she looks for sale advertisements for coats in new...

More questions: Business Another questions

Questions on the website: 13722367