Why does a company use its cost of capital as the minimum required rate of return for its capital investment decisions?
What will be an ideal response?
Answers will vary.
The cost of capital measures the return expected by stockholders and creditors on their investment in the company. A company that cannot generate at least this rate of return on its capital investments will eventually go bankrupt.
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Officer Tom stops Kathy because she looks like a criminal to him, and after a pat down finds marijuana in her pocket. He then uses the drugs to justify obtaining a warrant to search her home for more drugs. The search uncovers 8 kilos of cocaine. What evidence, if any, would be admissible at trial?
A. Both the marijuana from her pocket and the 8 kilos of cocaine would be admissible evidence at trial. B. The marijuana in her pocket would be excluded from evidence; however, the 8 kilos were found pursuant to a warrant, so they are admissible evidence at trial. C. The marijuana would be admissible at trial but not the cocaine because marijuana and cocaine are so different. D. Neither the marijuana nor the cocaine would be admissible at trial.
The cost of merchandise purchased during the period less any returns or any discounts is called
a. purchases; b. net purchases; c. purchases returns and allowances; d. cost of goods available; e. purchase requisition.
To test whether a true difference exists between two group percentages, we test the ________ that the difference in their population parameters is zero
A) male female B) null parameter C) null parameter D) null alternative E) all of the above
A taxpayer should prefer to pay a $100 implicit tax rather than a $100 explicit tax.
Answer the following statement true (T) or false (F)