Simulation models are useful for economic order quantity problems with probabilistic demand and lead time

Indicate whether the statement is true or false


TRUE

Business

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Answer the following statements true (T) or false (F)

Currently, expense is recognized when an incentive stock option is granted.

Business

Effective in 2010, the SEC adopted new requirements to improve the disclosure shareholders of public companies receive regarding compensation and corporate governance. These new rules require disclosure of any directorships held by each nominee at any time during the past seven years at any public company

a. True b. False Indicate whether the statement is true or false

Business

You are a buy-side analyst researching the Gorilla Glass Co. Gorilla plans to borrow $11 million by issuing bonds with an annual coupon of 7% and a yield to maturity of 7%

Gorilla will use the borrowed money to repurchase shares on the open market at $40 per share. You have gathered the information, shown in the table, regarding the company prior to the repurchase. You estimate that EBIT for Year 1 will be the same as reported for Year 0. Assume that the money is borrowed and the repurchase is executed at the beginning of Year 1. Gorilla Glass Co. Dec 31, Year 0 EBIT $10,331,538 Tax Rate 35% Shares Outstanding 3,000,000 EPS $2.5 Debt $0 Stock Price $40 What is the Year 1 EPS? A) $2.00 B) $2.28 C) $2.80 D) $3.25 E) $3.52

Business

The U.S. tax code allows ________ to transfer the entire estate to the survivor tax-free, assuming the recipient is a U.S. citizen

A) a generation-skipping clause B) gift taxes C) a common disaster clause D) tenancy in common E) an unlimited marital deduction

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