Photochronograph corporation (pc) manufactures time series photographic equipment. it is currently at its target debt-equity ratio of .65. it’s considering building a new $69 million manufacturing facility. this new plant is expected to generate aftertax cash flows of $6.9 million in perpetuity. the company raises all equity from outside financing. there are three financing options:
1. a new issue of common stock: the flotation costs of the new common stock would be 7.1 percent of the amount raised. the required return on the company’s new equity is 12 percent.
2. a new issue of 20-year bonds: the flotation costs of the new bonds would be 2.3 percent of the proceeds. if the company issues these new bonds at an annual coupon rate of 4 percent, they will sell at par.
3. increased use of accounts payable financing: because this financing is part of the company’s ongoing daily business, it has no flotation costs, and the company assigns it a cost that is the same as the overall firm wacc. management has a target ratio of accounts payable to long-term debt of .20. (assume there is no difference between the pretax and aftertax accounts payable cost.)
what is the npv of the new plant? assume that pc has a 21 percent tax rate. (do not round intermediate calculations and enter your answer in dollars, not millions, rounded to the nearest whole number, e. g., 1,234,567.)

Which basic economic questions deals with the issue of how the incomeof people in various occupations is determined

Working with a word processor requires more than just a knowledge of typing. a good word processor includes a number of tools designed to aid in formatting documents to meet the needs of the reader. in this project you will use your word-processing skills and a basic knowledge of apa style to format a research paper. the skills you will need for this project include the following: adjusting line spacing (double-spacing) breaking text into pages (page break) centering text changing the font, style, and size of the text editing text inserting page numbers inserting a table using spell check

Assume that all of thurmond company’s sales are credit sales. it has been the practice of thurmond company to provide for uncollectible accounts expense at the rate of one-half of one percent of net credit sales. for the year 20x1 the company had net credit sales of $2,021,000 and the allowance for doubtful accounts account had a credit balance, before adjustments, of $630 as of december 31, 20x1. during 20x2, the following selected transactions occurred: jan. 20 the account of h. scott, a deceased customer who owed $325, was determined to be uncollectible and was therefore written off. mar. 16 informed that a. nettles, a customer, had been declared bankrupt. his account for $898 was written off. apr. 23 the $906 account of j. kenney & sons was written off as uncollectible. aug. 3 wrote off as uncollectible the $750 account of clarke company. oct. 20 wrote off as uncollectible the $1,130 account of g. michael associates. oct. 27 received a check for $325 from the estate of h. scott. this amount had been written off on january 20 of the current year. dec. 20 cater company paid $7,000 of the $7,500 it owed thurmond company. since cater company was going out of business, the $500 balance it still owed was deemed uncollectible and written off. required: prepare journal entries for the december 31, 20x1, and the seven 20x2 transactions on the work sheets provided at the back of this unit. then answer questions 8 and 9 on the answer sheet. t-accounts are also provided for your use in answering these questions. 8. which one of the following entries should have been made on december 31, 20x1?