Which of the formulations below expresses the weighted average cost of capital (WACC) formula?
A) WACC = × Re + × Rd × (1 - Tc)
B) WACC = × Re + × Rd × (1 - Tc)
C) WACC = × Re × (1 - Tc) + × Rd
D) WACC = × Rd + × Re × (1 - Tc)
Answer: A
You might also like to view...
Which of the following items would not be a reconciling item?
a. Canceled checks b. NSF checks c. Outstanding checks d. Deposits in transit
________ requires a detailed specification of how the sampling design decisions with respect to the population, sampling frame, sampling unit, sampling techniques, and sample size are to be implemented
A) Determination of the sampling frame B) Selection of a sampling technique(s) C) Determination of the sample size D) Execution of the sampling process
Jervis sells $3400 of its accounts receivable to Northern Bank in order to obtain necessary cash. Northern Bank charges a 2% factoring fee. What entry should Jervis make to record the transaction?
A. Debit Accounts Receivable $3332; debit Factoring Fee Expense $68; credit Cash $3400. B. Debit Cash $3332; credit Accounts Receivable $3332 C. Debit Cash $3400; credit Factoring Fee Expense $68; credit Accounts Receivable $3400 D. Debit Accounts Receivable $3400; credit Factoring Fee Expense $68; credit Cash $3332 E. Debit Cash $3332; debit Factoring Fee Expense $68; credit Accounts Receivable $3400
Which idea about LAO and MSO is true?
A. The LAO is relatively difficult to find. B. The MSO is easily calculable. C. Reversing opinion on the MSO during negotiations is acceptable. D. The LAO should be set to prevent a loss.