subject
Business, 12.09.2019 00:30 Robyn32

Jay's bakery has a bond issue outstanding that matures in eight years. the bonds pay interest semiannually. currently, the bonds are quoted at 97.8 percent of face value and carry a coupon rate of 5.7 percent. what is the aftertax cost of debt if the tax rate is 21 percent?

ansver
Answers: 3

Another question on Business

question
Business, 22.06.2019 11:40
Zachary company produces commercial gardening equipment. since production is highly automated, the company allocates its overhead costs to product lines using activity-based costing. the costs and cost drivers associated with the four overhead activity cost pools follow: activities unit level batch level product level facility level cost $ 64,800 $ 27,730 $ 15,000 $ 154,000 cost driver 2,400 labor hrs. 47 setups percentage of use 11,000 units production of 780 sets of cutting shears, one of the company’s 20 products, took 240 labor hours and 7 setups and consumed 15 percent of the product-sustaining activities. required: (a) had the company used labor hours as a company wide allocation base, how much overhead would it have allocated to the cutting shears? (b) how much overhead is allocated to the cutting shears using activity-based costing? (c) compute the overhead cost per unit for cutting shears first using activity-based costing and then using direct labor hours for allocation if 780 units are produced. if direct product costs are $150 and the product is priced at 30 percent above cost for what price would the product sell under each allocation system? (d) assuming that activity-based costing provides a more accurate estimate of cost, indicate whether the cutting shears would be over- or underpriced if direct labor hours are used as an allocation base. explain how over-or undercosting can affect vaulker's profitability. (e) comment on the validity of using the allocated facility-level cost in the pricing decision. should other costs be considered in a cost- plus pricing decision? if so, which ones? what costs would you include if you were trying to decide whether to accept a special order?
Answers: 1
question
Business, 22.06.2019 12:20
Consider 8.5 percent swiss franc/u.s. dollar dual-currency bonds that pay $666.67 at maturity per sf1,000 of par value. it sells at par. what is the implicit sf/$ exchange rate at maturity? will the investor be better or worse off at maturity if the actual sf/$ exchange rate is sf1.35/$1.00
Answers: 2
question
Business, 22.06.2019 19:00
What is an equation of the line in slope intercept formm = 4 and the y-intercept is (0,5)y = 4x-5y = -5x +4y = 4x + 5y = 5x +4
Answers: 1
question
Business, 22.06.2019 22:30
Perry is a freshman, he estimates that the cost of tuition, books, room and board, transportation, and other incidentals will be $30000 this year. he expects these costs to rise about $1500 each year while he is in college. if it will take him 5 years to earn his bs, what is the present cost of his degree at an interest rate of 6%? if he earns and extra $10000 annually for 40 years, what is the present worth of his degree.?
Answers: 3
You know the right answer?
Jay's bakery has a bond issue outstanding that matures in eight years. the bonds pay interest semian...
Questions
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
English, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01
question
English, 18.09.2020 01:01
question
Mathematics, 18.09.2020 01:01