Lumber Corp's common stock trades at a price of $40 per share. Last year's dividend was $1.6 per share and is expected to grow by 5% per year. Flotation costs for common stock have been estimated at 6%.
The company's preferred stock is selling at $50 and has an annual dividend of $4.
Lumber Corp. has bonds outstanding with an average coupon rate of 12% and a yield to maturity of 9%.
The firm's optimum capital structure is 45% equity, 15%
preferred stock and 40% debt, and its tax rate is 40%.
What is the (after-tax) cost of debt?
What is the cost of preferred stock?
What is the cost of retained earnings?
What is the cost of new common stock?
What is the WACC, assuming the company doesn't have to issue any new stock?
In: Finance
hello! this is my C++ ASSIGNMENT. Pls my professor is very delicate when it comes to grading. I am beginner, if you can please provide me with comments I will appreciate it!!
The Weather Service Bureau department has data representing monthly rainfall for a year and we would like to create a table categorizing each month as rainy (rainfall 20% higher than average) dry (rainfall 25% lower than average) or average. The data file for monthly rain fall is called rainfall.txt.
rainfall.txt
95 100 120 130 135 145 155 185 190 160 130 120
Store the data file in the same folder of your lab6.cpp.
Output
The year's average monthly rainfall was 139 mm.
September has the highest rainfall (190 mm).
January has the lowes rainfall (95 mm)
Month Rainfall(mm)
Classification
-------
--------------- --------------
1
95
Dry
2
100
Dry
3
120
Average
4
130
Average
5
135
Average
6
145
Average
7
155
Average
8
185
Rainy
9
190
Rainy
10
160
Average
11
130
Average
12
120
Average
Program Requirements:
Implement the following functions in the program:
void inputRainfall(int rainFal l[], int size)
The function reads the monthly rainfall from the file rainFall.txt
and stores them in the array rainFall
int calculateAverageRainFall(int rainFall [], int size)
Return the average monthly rainfall
void classifyAndDisplayRainfall(int rainFall[], int months);
Classify and display each month as average, rainy, or dry.
In: Computer Science
In: Accounting
1. True or False: Disaster Planning is not part of the BCP?
2. True or False: you still need a BCP or DRP if you have business liability insurance, asset replacement insurance and natural disaster insurance
3. True or False: If a business cannot operate, the BCP assists in bringing the business back to life and operational readiness.
4. True or False: a BIA helps define the scope of the BCP itself.
5. True or False: The purpose of having documented IT system, application and data recovery procedures/steps is to help achieve the RTO defined by executive management?
6. True or False: the BCP should be updated at least once a year.
7. Which of the following is NOT true. A BCP helps mitigate the risk of:
| (a) |
Losing human life. |
|||||||||||||
| (b) |
All of the above are True |
|||||||||||||
| (c) |
Lengthy IT system outages. |
|||||||||||||
|
(d) Lost revenue and lost intellectual property assets. 8.Which of the following should develop and participate in an organization's BCP?
|
In: Computer Science
Q 2-25 Identify the basic accounting equation. Q 2-26 What is the relationship between the accounting equation and the double-entry system of recording transactions? Q 2-27 Define the following: a. Permanent accounts b. Temporary accounts Q 2-28 A typical accrual recognition for salaries is as follows: Q 2-36 Describe the purchase method of accounting for a business combination. Q 2-37 Consolidated statements may be issued to show financial position as it would appear if two or more com- panies were one entity. What is the objective of these statements? Q 2-38 What is the basic guideline for consolidation? Q 2-39 Where must a company’s code of ethics be made available? Q 2-40 Describe the Treadway Commission. Q 2-41 WhyistheCOSOreportoninternalcontrolsystems important under requirements of the Sarbanes-Oxley Act? Q 2-42 Under Sarbanes-Oxley, the auditing firm will include which two reports with the audited statements? (Note: These two reports can be combined into one report.) Q 2-43 Under Sarbanes-Oxley, management must include what report with the audited statements? Q 2-44 Private companies are not under Sarbanes-Oxley. Why do some private companies follow the law? Q 2-45 Indicate the two approaches to presenting con- solidated statements. Q 2-46 Describe how a company could be required to consolidate another company in which it has no or minor voting stock. Q 2-47 Consolidation rules are similar between coun- tries. Comment. Salaries Expense Salaries Payable $1,000 (increase) 1,000 (increase) Explain how the matching concept applies in this situation. Q 2-29 Why are adjusting entries necessary? Q 2-30 Why aren’t all transactions recorded in the gen- eral journal? Q 2-31 Describe the filing deadline for Form 10-K. Q 2-32 Identify the usual forms of a business entity and describe the ownership characteristic of each. Q 2-33 Why would the use of insider information be of concern if the market is efficient?
In: Accounting
Complete the following cost and revenue schedule
Average
Quantity Total Marginal Total Marginal Total
Price Demanded Revenue Revenue Cost Cost Cost
$20 0 $8
$18 1 $14
$16 2 $22
$14 3 $32
$12 4 $44
$10 5 $58
$8 6 $74
$6 7 $92
$4 8 $112
$2 9 $147
a. Graph the demand, MR, and MC curves.
b. At what rate of output are profits maximized within this range?
c. What are the values of MR and MC at the profit-maximizing rate of output?
d. What are total profits at that output rate?
e. If a competitive industry confronted the same demand and costs, how much output is produced in the short run?
f. What would happen to long-run price in perfect competition?
In: Economics
An Exercise for Your Imagination
Imagine you have been following a path for what seems time without measure during a morning of swirling mists and diffused light when you feel the ground give softly under your leading foot. As your momentum carries you forward, wet ribbon-like strands hit your face before rubbing along either side, some few catching under your arms and between the fingers of your hands. Surprised, you stop and try to orient yourself, failing until a moment when the mists separate to reveal tall grasses before you and your path dividing to the left and right. All signs along the way having appeared meaningless, feeling a sense of dread and quite lost, you see off in the distance and on both sides of the divide someone approaching. Each looks at you without a glance at the other, eventually coming so close as to feel their breath, and begins to speak, their words converging in garbled nonsense until you discover that you can listen to one at a time. Listening to the person on the left you hear something resembling mathematical formulae; listening to the person on the right you hear something resembling a narrative tale. Neither by itself seems able to offer you the understanding you seek, but as you listen more closely, you begin to grasp how the narrative explains the formulae and the formulae concern the narrative…
With your head nearly spinning you begin to realize that both roads lead to your destination.
Your Writing Assignment
Write from the perspective of the lost traveler in the imaginative exercise above.
Which way you would go: Left or Right? Explain your choice.
Who do you think the “travelers” are in relation to the Gilligan article: The one on the left; the one on the right; and, the one seeking their way?
Referring directly to the Gilligan selection (using quotations), relate the imaginary scene of the above exercise to her idea of “…Two views of morality which are complementary rather than sequential or opposed” (p. 6 & 7).
In: Psychology
Tom Scott is the owner, president, and primary salesperson for Scott Manufacturing. Because of this, the company's profits are driven by the amount of work Tom does. If he works 40 hours each week, the company's EBIT will be $550,000 per year; if he works a 50-hour week, the company's EBIT will be $625,000 per year. The company is currently worth $3.2 million. The company needs a cash infusion of $1.3 million, and it can issue equity or issue debt with an interest rate of 7 percent. Assume there are no corporate taxes.
a. What are the cash flows to Tom under each scenario? (Enter your answers in whole dollars, not millions of dollars. Do not round intermediate calculations and round your answers to the nearest whole dollar amount. (e.g., 32))
Scenario-1 Debt issue:
Cash flows
40-hour week $ _________
50-hour week $ _________
Scenario-2 Equity issue:
Cash flows
40-hour week $ __________
50-hour week $ __________
b. Under which form of financing is Tom likely to work harder?
Debt issue or Equity issue
In: Finance
FYI: THIS IS A NEW PROBLEM WITH NEW A SET OF DATA.. PLEASE DO NOT PROVIDE OLD ANSWERS.
Tom Scott is the owner, president, and primary salesperson for
Scott Manufacturing. Because of this, the company's profits are
driven by the amount of work Tom does. If he works 40 hours each
week, the company's EBIT will be $595,000 per year; if he works a
50-hour week, the company's EBIT will be $715,000 per year. The
company is currently worth $3.65 million. The company needs a cash
infusion of $1.75 million, and it can issue equity or issue debt
with an interest rate of 7 percent. Assume there are no corporate
taxes.
a. What are the cash flows to Tom under each
scenario? (Enter your answers in dollars, not millions of
dollars, e.g. 1,234,567. Do not round intermediate
calculations.)
Scenario-1
Debt issue:
| Cash flows | |
| 40-hour week | $ |
| 50-hour week | $ |
Scenario-2
Equity issue:
| Cash flows | |
| 40-hour week | $ |
| 50-hour week | $ |
b. Under which form of financing is Tom likely to
work harder?
__________Debt issue
or
__________Equity issue
In: Finance
Tom Scott is the owner, president, and primary salesperson for Scott Manufacturing. Because of this, the company's profits are driven by the amount of work Tom does. If he works 40 hours each week, the company's EBIT will be $550,000 per year; if he works a 50-hour week, the company's EBIT will be $625,000 per year. The company is currently worth $3.2 million. The company needs a cash infusion of $1.3 million, and it can issue equity or issue debt with an interest rate of 7 percent. Assume there are no corporate taxes.
a. What are the cash flows to Tom under each scenario? (Enter your answers in whole dollars, not millions of dollars e.g. 1,234,567. Do not round intermediate calculations.
I think I have the answers but I am having problems entering whole dollars and my answers keep coming up wrong.
Scenario-1 Debt issue:
Cash flows
40-hour week $ _________
50-hour week $ _________
Scenario-2 Equity issue:
Cash flows
40-hour week $ __________
50-hour week $ __________
In: Finance