Working three days each to design new software system

Assignment Help Financial Management
Reference no: EM131856108

1. I need two designers working three days each to design a new software system. One code-writer will spend eleven days writing software to implement the design. One tester will test and correct the resulting code over three days. What is the level of effort associated with this project?

a. 20 person days

b. $2,525

c. 15 days

d. Cannot compute without data on indirect costs

2. XYX corporation’s capital structure calls for 60% debt and 40% common equity. The company’s cost of debt is 8%. Retained earnings are estimated to be $160 million. The company’s cost of retained earnings is 14% and the cost of external common equity is 16%. The corporate tax rate is 30%. Calculate the WACC above the RE break point.

6.76%

7.76%

8.76%

9.76%

Reference no: EM131856108

Questions Cloud

What was moores position on the last revision : What was Moores position on the last revision of his law - Clarify the four main factors contributing to the formulation of Moores Law
Describe how you would present the data graphically : Write one question for a survey that would meet the purpose of the research described in scenario provided above, using nominal, ordinal, interval.
According to the earned value management perspective : what is your cost variance according to the earned value management perspective?
Return the length of the shorter : Please help make a function shorter(l1, l2) that takes as inputs two lists l1 and l2, and that return the length of the shorter (of the two) lists.
Working three days each to design new software system : I need two designers working three days each to design a new software system. What is the level of effort associated with this project?
How effective is the ad at getting the company brand : Who will it interest? What is the key message? How effective is the ad at getting the company's brand and message across to viewers?
Show commands from your command line : In Unix /Linux can you show commands from your command line? 1. Make a directory 'find_man_pages' under your home.
Evaluate the studies and offer critical comments : Evaluate the studies and offer critical comments on any shortcomings you've observed or that have been reported by the authors.
Minimum required number of bits addition : Show the re levant process for deriving the final decimal number. Again, using a non-proportional font will make lining up the numbers easier.

Reviews

Write a Review

Financial Management Questions & Answers

  Binomial model to estimate the current value of put option

Suppose that firm Ds shares are currently selling for $38. After six months it is estimated that the share price will either rise to $43.32 or fall to $33.82. Suppose that a European put option with an exercise price of $41 is written today and will ..

  Compute earnings per share for the levels

Southland industries has 60,000 0f 14.1% (annual interest) bonds outstanding, 1,800 shares of preferred stock paying annual dividend of $5 per share, and 7,000 shares of common stock outstanding. Assuming that the firm has a 40% tax rate, compute ear..

  Improve the welfare of employee-investors is pension design

the best way to improve the welfare of employee-investors is pension design.

  What are three types of risks company may face

What are three types of risks a company may face when it chooses to use an international strategy?

  Business and government relations

Discuss the main reasons why a business should or should not be involved in political discussions or take a political stand. Use terms found in Chapter 9 to demonstrate your understanding of the material.

  What should current rate be on two-year treasury securities

If the unbiased expectations theory is correct, what should the current rate be on 2-year Treasury securities?

  Find current price of the stock using put-call parity

Find current price of the stock using put-call parity. What would be the strategy to take advantage of arbitrage opportunity at 106.5, if there is any?

  Assuming the market is in equilibrium

Crisp Cookware's common stock is expected to pay a dividend of $1.5 a share at the end of this year (D1 = $1.50); its beta is 1.15; the risk-free rate is 5.2%; and the market risk premium is 5%. The dividend is expected to grow at some constant rate ..

  Consumer groups contend that the pricing for some drugs

Consumer groups contend that the pricing for some drugs is “too high” considering that the costs to manufacture each dose in so low.

  The size of the payments for two starting dates

On september 1, 2004, a philanthropist gives a university a fund of $50 000, which is invested at J2=6%. If semi annual scholarships are awarded for 20 years from this grant, what is the size of each scholarship if the first one is awarded on a) Sept..

  What is the expected annual rate of return on investment

What is the expected annual rate of return on this investment?

  Requires initial fixed asset investment

Phone Home Inc is considering a new 4 year expansion project that requires an initial fixed asset investment of $3 million.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd