question archive 1) Suggest monetary solutions for the present financial crisis and discuss if those solutions are always applicable
1) Suggest monetary solutions for the present financial crisis and discuss if those solutions are always applicable
Subject:FinancePrice: Bought3
1) Suggest monetary solutions for the present financial crisis and discuss if those solutions are always applicable.
2) ABC Corporation has a target capital structure that consists of 35%
debt and 65% equity.ABC can borrow at an interest rate of 11%. ABC has determined its cost of equity to be 13%. Its tax rate is 30 percent. What is ABC weighted average cost of capital??
3) Why is the simultaneous targeting of the money supply and interest rates is sometimes impossible to achieve?
Which of the following is a disadvantage of using the average accounting return (AAR) rule for capital budgeting?
It is biased toward liquidity.
It is difficult to calculate.
It is biased against long-term projects.
It is not based on market value.
The information needed to calculate the AAR is difficult to obtain.
