Suppose your company needs $24 million to build a new assembly line. your target debt-equity ratio is .75. the flotation cost for new equity is 7 percent, but the flotation cost for debt is only 3 percent. your boss has decided to fund the project by borrowing money because the flotation costs are lower and the needed funds are relatively small.
a. what is your company’s weighted average flotation cost, assuming all equity is raised externally?
b. what is the true cost of building the new assembly line after taking flotation costs into account?

1. the political environment in india has proven to be critical to company performance for both pepsico and coca-cola india. what specific aspects of the political environment have played key roles? could these effects have been anticipated prior to market entry? if not, could developments in the political arena have been handled better by each company? 2. timing of entry into the indian market brought different results for pepsico and coca-cola india. what benefits or disadvantages accrued as a result of earlier or later market entry? 3. the indian market is enormous in terms of population and geography. how have the two companies responded to the sheer scale of operations in india in terms of product policies, promotional activities, pricing policies, and distribution arrangements? 4. “global localization” (glocalization) is a policy that both companies have implemented successfully. give examples for each company from the case.

How many months does the federal budget usually take to prepare

Suppose that each country completely specializes in the production of the good in which it has a comparative advantage, producing only that good. in this case, the country that produces jeans will produce million pairs per week, and the country that produces corn will produce million bushels per week.