subject
Business, 01.11.2019 07:31 garretthyatt123

Jr computers, a firm that manufactures and sells personal computers is an all-equity firm with 100,000 shares outstanding, $10 million in earnings after taxes and a market value of $ 150 million. assume that this firm borrows $60 million at an interest rate of 8% and buys back 40,000 shares, using the funds. if the firm's tax rate is 50%, estimate the effect on earnings per share of the action.

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 19:00
1. regarding general guidelines for the preparation of successful soups, which of the following statements is true? a. thick soups made with starchy vegetables may thin during storage. b. soups should be seasoned throughout the cooking process. c. finish a cream soup well before serving it to moderate the flavor. d. consommés take quite a long time to cool.
Answers: 2
question
Business, 23.06.2019 02:40
Telecom co. enters into a two-year contract with a customer to provide wireless service (voice and data) for $40 per month. to induce customers, telecom co. provides a free phone. telecom co. normally sells the phone on a stand-alone basis for $200. telecom co. also charges the customer a one-time activation fee of $35.which of the following is true? a) there are two distinct performance obligations: the voice service and the data service b) the free phone constitutes as a marketing expense c) the activation fee is a separate performance obligationd) there are two distinct performance obligations: the wireless services and the phone
Answers: 2
question
Business, 23.06.2019 03:00
If joe to go decides to produce its coffee beans domestically and sell them in india through a local retailer, this would be an example of
Answers: 2
question
Business, 23.06.2019 03:00
Why is the type of product sold in an industry an important characteristic? a firm that can differentiate its product from that of rivals may be able to charge a higher price for a superior product. a firm that sells intangible goods is usually considered a monopoly. service industries cannot differentiate their products, which makes it easy for new firms to enter the industry. expensive products are usually sold by perfectly competitive firms.
Answers: 2
You know the right answer?
Jr computers, a firm that manufactures and sells personal computers is an all-equity firm with 100,0...
Questions
question
Business, 15.09.2021 22:20
question
World Languages, 15.09.2021 22:20
question
Arts, 15.09.2021 22:20
Questions on the website: 13722362