Net sales volume variance will not be favorable

Assignment Help Financial Management

Reference no: EM132056651

1. In the APV model

A) interest tax shields are discounted at i.

B) operating cash flows are discounted at Ku.

C) depreciation tax shields are discounted at i.

D) all of the above.

2. The firm's tax rate is 34%. The firm's pre-tax cost of debt is 8%; the firm's debt-to-equity ratio is 3; the risk-free rate is 3%; the beta of the firm's common stock is 1.5; the market risk premium is 9%. Calculate the weighted average cost of capital.

A) 8.09%

B) 8.51%

C) 9.05%

D) 9.57%

E) 9.76%

3. Net sales volume variance will not be favorable:

When actual units sold is greater than budgeted sales volume

When actual units sold are less than budgeted sales volume

When the sales volume variance is favorable

Under any of the above conditions

Reference no: EM132056651

Questions Cloud

Create a classroom webpage or blog that could be shared : Create a classroom webpage or blog that could be shared at the beginning of the school year with parents/guardians and students.

Maximize profits across two kinds of travelers : Scenario: American Airlines (AA) is trying to maximize profits across two kinds of travelers: vacationers (Group A) and business travelers (Group B).

Define an erosional flood plain : What environmental conditions make wind erosion more effective in deserts than in more humid regions?

Increase insurance for mental health services : Explain how current proposals to increase insurance for mental health services would affect the market for psychiatrists.

Net sales volume variance will not be favorable : Net sales volume variance will not be favorable:

Question - prepare the journal entries : Question - Prepare the journal entries. Micro Machines Inc. declared a cash dividend of $1.50 per share on its 2 million outstanding shares

What are your feelings about writing : Do you always follow the same process every time you write, or does your process seem to change depending upon what you are writing?

Rewrite the given normal forms in detail : The 1NF consider being the first step in normalization process. It focuses on the shape of the records. In this form we need to make sure that each cell.

What is the percentage return on the investor position : If the margin on the contract is $11,100, what is the percentage return on the investor’s position?

User Account

All Pages