these three debt issues Consider corporate taxes only. The marginal tax rate is 35%. a. $1000‚ one-year loan‚ at interest rate of 8% (tax shield) = (tc x i x D) = (0.35 x 0.08 x $1‚000) = $28 PV(tax shield) = $28/(1+i)^1 = $25.93 b. A five-year loan of $1000 at 8% interest rate. No principal is repaid until maturity. Tax Shield = tc x i x D = (0.35 x 0.08 x $1‚0000) = $28 Year 1 = PV(tax shield) = $28/(1+0.08)1 = $25.93 Year 2 = PV(tax shield) = $28/(1+0.08)2 = $24.00 Year 3 = PV(tax shield)
Premium Stock Net present value Stock market
2/28/13 3A In The Tortilla Curtain‚ T.C. Boyle introduces two completely different families who live in southern California. Striving for their American dream‚ the Mossbacher’s and the Rincon’s struggle with similar difficulties everyday. But the presence of each other make them do things they would never have done before. They both go to the same grocery store‚ but they spend their money very different‚ and their American lifestyles contrast throughout the novel. The American dream is not limited
Premium Immigration to the United States American Dream American football
Task-Centered Therapy Dr. McMeel Group Four: Jesslyn Phlinda Chaundra Aeindra Cecilia Task-Centered Therapy Task-Centered Therapy is the outcome of Psychodynamic Therapy unsuccessful results from clients. According to Oxford Bibliographies‚ Laura Epstein and William J. Reed developed Task-Centered Therapy in the 1970’s during their years at University of Chicago Social Services Department (2013). Laura Epstein developed what is commonly known amongst social workers for
Premium Social work Problem solving Psychotherapy
payment to mobile service provider like idea‚ reliance and what TDS rate will be applicable (m) Whether TDS is applicable on transporter or not and which rate will be applicable on without providing of PAN card? (n) What is meaning of TCS and TCS Rate on scrap sale (o) How to identify of assesses status through PAN card (p) What entry will be generate if scrap sale to party? (q) What excise rate will be applicable to supply to SEZ (r) What type of parameter should
Premium Indirect tax Accounts receivable Invoice
Market Competition Robert McGill BA 201 Microeconomics 4 April 2011 Market Competition 1. Fill in the table below. Assume TC stands for Total Cost‚ TFC as Total Fixed Cost‚ TVC as Total Variable Cost‚ ATC as Average Total Cost‚ AFC as Average Fixed Cost‚ AVC as Average Variable Cost‚ and MC as Marginal Cost. TC TFC TVC ATC AFC AVC MC Units of Output 0 20 20 0 0 0 0 0 1 21 20 1 21 20 1 1 2 24 20 4 12 10 2 3 3 32 20 12 10.67 6.67 4 8 4 48 20 28 12 5 7 16 5 75 20 55 12
Premium Costs Marginal cost Variable cost
Foundation‚ The University of Western Ontario‚ London‚ Ontario‚ Canada‚ N6A 3K7; phone (519) 661-3208; fax (519) 661-3882; e-mail cases@ivey.uwo.ca. Copyright © 2010‚ Richard Ivey School of Business Foundation BACKGROUND Version: (A) 2010-08-05 tC On January 4‚ 2004‚ Liang Zhaoxian‚ the vice-chairman and chief executive officer (CEO) of Galanz Enterprises Group Co. Ltd. (Galanz)‚ had just returned to his office after signing a contract to outsource part of the production of Galanz’s designed
Premium Microwave oven Manufacturing Marketing
According to Sloman‚ (2004)‚ production is the transformation of inputs into outputs by firms in order to earn profit. Production can be divided into two types‚ that is short-run production and long-run production. Production in the short-run is the production period of time over which at least one factor is fixed as production in the long-run is the production period of time long enough for all factors to be varied. As mentioned by Sloman‚ (2004)‚ production in the short-run is subject to diminishing
Premium Costs Economics Cost
TR$0.00$150.00$290.00$420.00$540.00$650.00$750.00$840.00$920.00$990.00$1‚050.00$1‚100.00$1‚140.00$1‚170.00$1‚190.00$1‚200.00TR$0.00$150.00$290.00$420.00$540.00$650.00$750.00$840.00$920.00$990.00$1‚050.00$1‚100.00$1‚140.00$1‚170.00$1‚190.00$1‚200.00 TC$10.00$30.00$50.00$80.00$120.00$170.00$230.00$300.00$380.00$470.00$570.00$680.00$800.00$930.00$1‚070.00$1‚220.00 Profit maximization in terms of total revenue to total cost can be approached in two different ways. The first is to take total revenue
Premium Profit maximization Marginal cost Economics
ones. A company has achieved economies of scope when savings are achieved as it increases the variety of products so the total cost of a company producing both products x and y is less than two companies producing products x and y or : TC(Qx‚Qy) < TC(Qx‚0) + TC(0‚Qy). Is essential for a company to keep variable costs constant and at the same time try to achieve economies of scope. Keeping costs constant and having economies of scope can lead a company of becoming the cost leader. Steps 2‚3
Premium Costs Cost Economics of production
P2.6 Price and Total Revenue. The Portland Sea Dogs‚ the AA affiliate of the Boston Red Sox major league baseball team‚ have enjoyed a surge in popularity. During a recent home stand‚ suppose the club offered $5 off the $12 regular price of reserved seats‚ and sales spurted from 3‚200 to 5‚200 tickets per game. A. Derive the function that describes the price/output relation with price expressed as a function of quantity (tickets sold). Also express tickets sold as a function of price
Premium Supply and demand