How does the interest paid by a firm affect its value to investors?
What will be an ideal response?
Answer: The interest paid by a firm is tax-deductible and is referred to as interest tax shield. This is the additional amount that a firm would have paid in taxes if it did not have any debt in its capital structure.
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A corporation has 18,000 shares of 13%, $50 par cumulative preferred stock outstanding and 34,000 shares of no-par common stock outstanding
Dividends of $22,000 are in arrears. At the end of the current year, the corporation declares a dividend of $208,000. What is the dividend per share for preferred stock and for common stock? (Round your answer to the nearest cent.) A) The dividend per share is $5.00 to preferred stock and $6.65 per share to common stock. B) The dividend per share is $11.56 to preferred stock and $0 per share to common stock. C) The dividend per share is $7.72 to preferred stock and $2.03 per share to common stock. D) The dividend per share is $11.56 to preferred stock and $2.03 per share to common stock.
A job descriptionis an explanation of the responsibilities for a specific position in an organization.
Answer the following statement true (T) or false (F)
Most company's goals can be classified as either ________ or ________.
A. strategic; financial B. operational; tactical C. social; economic D. strategic; operational
When n is greater than or equal to 10, the sign test statistic has an approximate ____________________ distribution
Fill in the blank(s) with correct word