Questions
Calculate the WACC for the following company. The company has a capital structure that consists of...

  1. Calculate the WACC for the following company. The company has a capital structure that consists of 50% debt and 50% common stock the company’s CFO has obtained the following information:
    1. The yield to maturity on the company’s bonds is 7%
    2. The coupon rate on the company’s bonds is 5%
    3. The next expected dividend is expected to be $7.00
    4. The dividend is expected to grow at a constant rate of 5% per year
    5. The stock price is currently $75 per share
    6. The tax rate is 35%

What is the WACC?

  1. Calculate the WACC for the following company: Jelly Inc.’s target capital structure is 40% debt, 10% preferred stock, and 50% common stock.
    1. The company’s 15-year, 7% coupon, 1000 par bonds are selling for $980
    2. The risk-free rate is 5%
    3. The expected return on the market is 10%
    4. Jelly ‘s beta is 1.2
    5. The company’s tax rate is 30%
    6. Preferred stock price is $90, and the preferred dividend is $9

What is Jelly’s WACC?

     3.  A company just paid a $2.00 per share dividend on its common stock. The dividend is expected to grow at a constant rate of 7 percent per year. The stock currently sells for $42 a share. What is the cost of equity?

Answer should be one decimal point. So, if the answer is 8.12%, enter 8.1.

    4. Outdoor Enterprises has bonds outstanding that carry an annual coupon of 10 percent. The bonds mature in 15 years and are currently priced at $1,050. The par value of the bond is $1,000. What is the firm's pre-tax cost of debt?

     5. Advanced Products has outstanding bonds that are currently priced at $980. The bonds mature in 12 years and carry an 8% annual coupon. The tax rate is 40%. What is the firm’s after-tax cost of debt?

In: Finance

This problem requires python(Project: Evaluate Word Problems) Write a script that enables the user to enter...

This problem requires python(Project: Evaluate Word Problems) Write a script that enables the user to enter mathematical word problems like "two times three" and " seven minus five", then use string processing to break apart the string into the numbers and the operation and return the result. So “two times three” would return 6 and “seven minus five would return 2. To keep things simple, assume the user enters only the words for the numbers 0 through 9 and only the operations ‘ plus’, ‘minus’, ‘times’, and ‘divided by’.

In: Computer Science

Seasonal affective disorder (SAD) is a type of depression during seasons with less daylight (e.g., winter...

Seasonal affective disorder (SAD) is a type of depression during seasons with less daylight (e.g., winter months). One therapy for SAD is phototherapy, which is increased exposure to light used to improve mood. A researcher tests this therapy by exposing a sample of SAD patients to different intensities of light (low, medium, high) in a light box, either in the morning or at night (these are the times thought to be most effective for light therapy). All participants rated their mood following this therapy on a scale from 1 (poor mood) to 9 (improved mood). The hypothetical results are given in the following table. Light Intensity Low Medium High Time of Day Morning 5 5 7 6 6 8 4 4 6 7 7 9 4 9 5 6 8 8 Night 5 6 8 8 8 7 6 7 6 7 5 8 4 9 7 2 8 6 (a) Complete the F-table and make a decision to retain or reject the null hypothesis for each hypothesis test. (Round your answers to two decimal places. Assume experimentwise alpha equal to 0.05.) Source of Variation SS df MS F Time of day Incorrect: Your answer is incorrect. Intensity Time of day × Intensity Error Total

In: Statistics and Probability

Seasonal affective disorder (SAD) is a type of depression during seasons with less daylight (e.g., winter...

Seasonal affective disorder (SAD) is a type of depression during seasons with less daylight (e.g., winter months). One therapy for SAD is phototherapy, which is increased exposure to light used to improve mood. A researcher tests this therapy by exposing a sample of patients with SAD to different intensities of light (low, medium, high) in a light box, either in the morning or at night (these are the times thought to be most effective for light therapy). All participants rated their mood following this therapy on a scale from 1 (poor mood) to 9 (improved mood). The hypothetical results are given in the following table.

   Light Intensity
Low Medium High
Time of
Day
Morning 5 5 7
5 6 8
4 4 6
7 7 9
5 8 5
6 8 8
Night 4 6 9
8 8 7
6 7 6
7 5 8
4 9 7
3 8 6

(a) Complete the F-table and make a decision to retain or reject the null hypothesis for each hypothesis test. (Round your answers to two decimal places. Assume experimentwise alpha equal to 0.05.)

Source of
Variation
SS df MS F
Time of day
Intensity
Time of
day ×
Intensity
Error   
Total

I have worked on this for three days, can't get it. Please help!

In: Statistics and Probability

EZ-Seat, Inc., manufactures two types of reclining chairs, Standard and Ergo. Ergo provides support for the...

EZ-Seat, Inc., manufactures two types of reclining chairs, Standard and Ergo. Ergo provides support for the body through a complex set of sensors and requires great care in manufacturing to avoid damage to the material and frame. Standard is a conventional recliner, uses standard materials, and is simpler to manufacture. EZ-Seat’s results for the last fiscal year are shown in the statement below.

EZ-SEAT, INC.
Income Statement
Ergo Standard Total
Sales revenue $ 2,000,000 $ 5,000,000 $ 7,000,000
Direct materials 600,000 1,500,000 2,100,000
Direct labor 400,000 500,000 900,000
Overhead costs
Administration 540,000
Production setup 435,000
Quality control 304,000
Distribution 738,000
Operating profit $ 1,983,000

EZ-Seat currently uses labor costs to allocate all overhead, but management is considering implementing an activity-based costing system. After interviewing the sales and production staff, management decides to allocate administrative costs on the basis of direct labor costs but to use the following bases to allocate the remaining costs:

Activity Level
Activity Base Cost Driver Ergo Standard
Setting up Number of production runs 50 100
Performing quality control Number of inspections 190 190
Distribution Number of units shipped 1,800 6,400

Required:

a. Complete the income statement using the preceding activity bases. (Do not round intermediate calculations.)

Account Ergo Standard Total
Sales revenue $2,000,000 $5,000,000 $7,000,000
Direct materials $600,000 $1,500,000 $2,100,000
Direct labor 400,000 500,000 900,000
Overhead costs:
Administration 540,000
Production setup 435,000
Quality control 304,000
Distribution 738,000
Total overhead costs 2,017,000
Operating profit (loss) $1,000,000 $3,000,000 $1,983,000

c. Restate the income statement for EZ-Seat using direct labor costs as the only overhead allocation base. (Do not round intermediate calculations.)

Account Ergo Standard Total
Sales revenue $2,000,000 $5,000,000 $7,000,000
Direct materials 600,000 1,500,000 2,100,000
Direct labor 400,000 500,000 900,000
Overhead costs 0
Operating profit (loss) $1,000,000 $3,000,000 $4,000,000

Thanks for your help!

In: Accounting

1.Declare a two-dimensional array of Strings namedchessboard.

1. Declare a two-dimensional array of Strings named chessboard.

2. Declare a two-dimensional array of integers named tictactoe.

3. Declare and create a two-dimensional array of chars,tictactoe, with 3 rows, each with 3 elements.

4. Create a two-dimensional array of ints, plan, with 2 rows, and and 3 columns and initialize the first row to 8, 20, 50 and the second row to 12, 30, 75. Use member initializer syntax.

In: Computer Science

Write a program that first gets a list of integers from input. The input begins with...

Write a program that first gets a list of integers from input. The input begins with an integer indicating the number of integers that follow. Assume that the list will always contain fewer than 20 integers.

That list is followed by two more integers representing lower and upper bounds of a range. Your program should output all integers from the list that are within that range (inclusive of the bounds). For coding simplicity, follow each output integer by a space, even the last one. The output ends with a newline.

Ex: If the input is:

5 25 51 0 200 33
0 50

then the output is:

25 0 33 

(the bounds are 0-50, so 51 and 200 are out of range and thus not output).

To achieve the above, first read the list of integers into an array.

In: Computer Science

C11 standard.... file1.txt: DAY Blackberry Blueberry Pear Mango apple Monday 60 35 32 16 30 Tuesday...

C11 standard....

file1.txt:

DAY Blackberry Blueberry Pear Mango apple
Monday 60 35 32 16 30
Tuesday 44 22 34 62 54
Wednesday 33 14 67 13 22
Thursday 24 44 35 15 42
Friday 36 43 24 34 29

file2.txt:

DAY Milk Cheese Butter Cream Yogurt
Monday 50 25 32 16 512
Tuesday 64 12 34 62 97
Wednesday 23 54 67 13 62
Thursday 34 54 25 35 127
Friday 76 23 54 24 120

Here, in the text file, the first line is column title contains less than 100 characters.

Each subsequent line contains six data items separated by space:

-The day of the week as a string containing no spaces with a length of less than 25 characters.
- Five additional items in each line that are the numbers of each food item is sold in as a string with length less than 15 characters.

-The number of columns in the file is fixed at 6.

TO DO-

Read the two text files and swap the data in the Apple column of file1.txt with Yogurt column of file2.txt and write the corrected data in file1-revised.txt and file2-revised.txt.

Assume that Apple and Yogurt is in the last column of file1.txt and file2.txt. Column title should not be modified.

Use feof() function to detect the end of lines.

Number of columns are fixed but number of rows can vary.

In: Computer Science

Please read the below article then answer these questions. (a) Who has more monopoly power---WalMart or...

Please read the below article then answer these questions.

(a) Who has more monopoly power---WalMart or the concessionaire who has acquired the franchise to sell beer, hot dogs, colas, candy, etc., at FedEx Field where the Washington Redskins play home football games? Explain.

(b) Does the valuation of sports teams make sense to you? Why or why not?

(c) Dc) Which market structure we have discussed do you feel best describes professional sports? Explain why.

Article

NFL commissioner Roger Goodell earned $145 million over the past four years, or $65 million more than the highest-paid player in the league during that time, Drew Brees. Critics have called for Goodell’s scalp for the way he has handled recent scandals involving Tom Brady, Adrian Peterson and Ray Rice. But Goodell has delivered tremendously for the constituency that signs his checks: NFL owners.

NFL franchises make up 27 of the 50 most valuable sports teams in the world, including the Dallas Cowboys, who rank first with a value of $4 billion, up 25%. It is the first time a non-soccer club has reigned as the most valuable team since 2010 (the first year Forbes compiled a top 50 list). Manchester United held the crown from 2010 to 2012 and Real Madrid the last three years.

Goodell heads the most powerful and lucrative sports league in the world, and he’s leveraged that power with broadcast TV contracts that are the envy of every other league. Take the NFL’s Thursday night TV package: CBS and NBC agreed in February to pay a total of $900 million for the rights to ten games apiece over the next two years. The networks didn’t even get exclusive rights as the games will be simulcast on the NFL Network—owned by the league’s owners—and digitally streamed over Twitter in an attempt to reach cord-cutters. The “tri-cast” system means the NFL will generate revenue from rights fees, affiliate fees and advertising for every game.

The Cowboys are the poster child for the NFL’s ability to make bank, with a sports-team record $270 million in operating profit during the 2014 season, $75 million more than any other franchise. Rich broadcast deals help raise the value of all NFL teams, but owner Jerry Jones separates the Cowboys from the pack by controlling and maximizing the revenue streams from his $1.2 billion home, AT&T Stadium. The team’s premium seat revenue ($125 million) and sponsorship revenue ($120 million) are both tops in the NFL, despite the Cowboys’ failure to make it to the Super Bowl over the past two decades. The Cowboys are also the only team to opt out of the NFL’s licensed merchandise arrangement, which further swells Jones’ coffers.

The NFL’s 32 teams generated $2.4 billion in operating profit during the 2014 season, which was the first of the league’s new network TV deals worth more than $5 billion annually. The average NFL franchise is worth nearly $2 billion, up 160% from $732 million a decade ago. The most valuable NFL teams after the Cowboys are the New England Patriots at No. 6 overall, worth $3.2 billion, and the Washington Redskins at No. 8, with Dan Snyder’s squad worth $2.85 billion.

Real Madrid falls one spot to No. 2 overall at a value of $3.65 billion, up 12%. Real won its 11th Champions League title in May when it defeated Atletico Madrid on penalty kicks. The Spanish powerhouse, stocked with a pantheon of stars led by the world’s highest-paid athlete Cristiano Ronaldo, tops a group of eight soccer clubs on our list. Real had the highest revenue of any sports team in the world at $694 million during the 2014-15 season. The club will get a boost from an extension to its Adidas kit deal signed earlier in the year. The pact is worth $1.6 billion over 10 years, or four times more than their previous agreement.

Nipping on Real’s heels is its La Liga rival, Barcelona, which ranks third at $3.55 billion. Barcelona, home to five-time FIFA Player of the Year Lionel Messi, signed its own monster kit deal in 2016. The agreement with Nike is expected to set a record and be worth as much as $175 million a year, according to reports. Barcelona will kick off a $650 million renovation of its Camp Nou stadium next year. The project will modernize the stadium, expand capacity to 105,000 and help Barca challenge Real for the highest revenues in sports.

The New York Yankees rank fourth, worth $3.4 billion, up 6%. The Bronx Bombers head seven MLB teams in the top 50, down from 12 the previous year. Attendance fell 5.5% last year in the Bronx in the first season without Derek Jeter at short in two decades. The 3.2 million fans were still tops in the American League.

Rounding out the top five is Manchester United at $3.32 billion. United kicked off a 10-year, $1.1 billion kit deal with Adidas for the 2015-16 season, which softened the blow of missing the Champions League. United has the highest debt load of any of the top 25 most valuable teams.

The biggest mover in the top 50 is Stan Kroenke’s Arsenal squad, which rose 13 spots to No. 23 with a value of $2.02 billion. The Gunners had the most expensive season tickets in the sport this year at $1,500-$3,000 for adults. Arsenal also received the biggest cut of Premier League TV money this season at $148 million, or $7 million more than Manchester City.

The biggest drop was the Ferrari Formula One team, which ranked 32nd in 2015, but fell out of the top 50. F1’s richest team is worth $1.35 billion, flat from the previous year, but couldn’t keep up with the exploding franchise values in team sports.

The average franchise in the top 50 is worth $2.2 billion versus $1.75 billion a year ago. The breakdown by sport is 27 NFL teams (versus 20 last year), seven MLB (versus 12), eight NBA (versus 10) and eight European soccer (versus seven). The New York Knicks are the most valuable NBA team at $3 billion and rank No. 7 overall. No F1, Nascar or hockey teams made the grade. The minimum to make the cut is up 20% to $1.48 billion (Jacksonville Jaguars). There are 76 franchises worth at least $1 billion by our count.

Our franchise values are based on the Forbes valuations done over the past year for NFL, NHL, NBA, MLB, F1, soccer and Nascar. Some team values have shifted since our last published reports, but they are not reflected here. Most notably, the former St. Louis Rams relocated to Los Angeles, increasing the team’s value from our September estimate of $1.46 billion. Forbes’ team values are enterprise values (equity plus debt) based on current stadium deals (unless a new stadium is pending).

In: Economics

A manufacturer of base units for home sensor protection (security, water, carbon monoxide, etc.) produces these...

  1. A manufacturer of base units for home sensor protection (security, water, carbon monoxide, etc.) produces these units in a small facility in northern Indiana. The firm’s engineer has set up “assembly cells” in the facility that she believes will be the most efficient means of producing the units. The following table displays the various costs per hour for producing the units.

Outputs per hour Total Cost Fixed Cost Variable Cost Avg Total Cost Avg Fixed Cost Avg Var Cost Marg Cost

0 $100 $100 $30

1 $130 $100 $30 $130    $100 30 $28

2 $158 $100 $58 $79 $50 $29 $25

3 $183 $100 $83 $61 $33.33 $27.67 $21

4 $204 $100 $104 $51 $25 $26.00 $18

5 $222 $100 $122 $44.40 $20 $24.40 $20

6 $242 $100 $142 $40.33 $16.67 $23.67 $23

7 $265 $100 $165 $37.86 $14.29 $23.57 $30

8 $295 $100 $195 $36.88 $12.50 $24.38 $38

9 $333 $100 $233 $37 $11.11 $25.89 $40

10 $373 $100 $273 $37.30 $10.00 $27.30

  1. Explain why Average Total Costs (ATC) declines through the production quantities. Only with the tenth unit per hour does the firm see a minor increase in ATC.
  2. Explain why Average Fixed Cost (AFC) declines across all levels of production. What do you call this phenomenon?
  3. Explain why Marginal Costs initially decline but then increase with the sixth unit of production. Which short run production principle is at work here in creating this pattern of Marginal Costs?

In: Economics