Tomkat Corp. has only a single asset. This asset generates operating cash flow of $300,000 per year, in perpetuity. Tomkat also has a single liability, which is a perpetual bond (the maturity date is infinitely far in the future) that has a face value of $1 million and that pays coupon interest at a rate of 6% once per year. The appropriate discount rate for the asset is 10%, while that for the bond is 5% per year. Required:
What is the value of Tomkat’s equity?

$1,800,000

Explanation:

Value of Tomcat's Asset = $300000 / 0.1

Value of Tomcat's Asset = $3,000,000

Interest amount = $1,000,000 * 6%

Interest amount = $60000

Value of Liability (bond) = $60000/0.05

Value of Liability (bond) = $1,200,000  

Value of Tomcat's equity = $3000000 - $1200000

Value of Tomcat's equity = $1,800,000

the answer is: c.that person might be arrested and deported

filling w-4 form incorrectly usually would rise suspicions from government's auditors. when they notice such mistakes, they would send their teams to investigate the situation further.

if those investigation teams believe that the incorrectness is done on purpose (with malicious intent), that person can be arrested or deported

answer; i believe the correct answer is (tall); ///good luck