subject
Business, 28.06.2019 00:20 sherlock19

The dollar cost of debt for john galt industries is 8.0%. the firm faces a tax rate of 40% on all income, no matter where it is earned. galt needs to know its yen cost of debt. the risk-free interest rates on dollars and yen are r% = 6% and r¥ = 2%, respectively. galt is willing to assume that capital markets are internationally integrated and that its free cash flows are uncorrelated with the yen-dollar spot rate. galt's after-tax cost of debt in yen is closest to:
a) 0.9%
b) 2.0%
c) 3.9%
d) 4.8%

ansver
Answers: 2

Another question on Business

question
Business, 21.06.2019 22:50
The leading producer of cell phone backup batteries, jumpstart, has achieved great success because they produce high-quality battery backups that are not too expensive. even so, another company that produces lower-quality batteries at the same price has also achieved some success, but not as much as jumpstart. also, in general, the price of backup batteries has declined because of economies of scale and learning. in addition, jumpstart has added complementary assets, such as a carrying case. considering all of these factors, the backup battery industry is most likely in the introduction stage. growth stage. shakeout stage. maturity stage.
Answers: 2
question
Business, 22.06.2019 17:00
Aaron corporation, which has only one product, has provided the following data concerning its most recent month of operations: selling price $ 102 units in beginning inventory 0 units produced 4,900 units sold 4,260 units in ending inventory 640 variable costs per unit: direct materials $ 20 direct labor $ 41 variable manufacturing overhead $ 5 variable selling and administrative expense $ 4 fixed costs: fixed manufacturing overhead $ 64,200 fixed selling and administrative expense $ 2,900 the total contribution margin for the month under variable costing is:
Answers: 2
question
Business, 22.06.2019 20:00
Double corporation acquired all of the common stock of simple company for
Answers: 1
question
Business, 22.06.2019 20:40
On january 1, 2017, pharoah company issued 10-year, $2,020,000 face value, 6% bonds, at par. each $1,000 bond is convertible into 16 shares of pharoah common stock. pharoah’s net income in 2017 was $317,000, and its tax rate was 40%. the company had 97,000 shares of common stock outstanding throughout 2017. none of the bonds were converted in 2017. (a) compute diluted earnings per share for 2017. (round answer to 2 decimal places, e.g. $2.55.) diluted earnings per share
Answers: 3
You know the right answer?
The dollar cost of debt for john galt industries is 8.0%. the firm faces a tax rate of 40% on all in...
Questions
question
Computers and Technology, 07.01.2021 02:00
question
Chemistry, 07.01.2021 02:00
question
English, 07.01.2021 02:00
question
Mathematics, 07.01.2021 02:00