Joe Bob Coffee is one of the Pacific Northwest's many fine publicly traded coffee companies. Joe Bob Coffee's required return on equity is 14.0%, its weighted average cost of capital is 11.3, and the beta on its debt is zero. Joe Bob Coffee is expected to generate a dividend of $2 per share next year and future dividends are expected to grow at 5% per year forever after. There are 1 million shares outstanding. Assume that the expected return on the market is 11%, the risk-free rate is 5%, and the company does not pay corporate taxes. a. What fraction of Joe Bob Coffee's capital structure is currently equity?
b. If Joe Bob Coffee decides to replace all of the debt in its capital structure with equity, what will its required return on equity become?

Suppose the price of a complement to lcd televisions rises. what effect will this have on the market equilibrium for lcd tvs?

Tiana daniels enterprise’s trial balance as at december 31, 2016 did not balance. on february 15, 2017 the following errors were detected: errorsi. water rates had been undercast by $2, 000.  ii. a cheque paid to yvonne walch of $2, 680 had been posted to the credit side of her account.  iii. discount received total of $1, 260 had been posted to the debit side of the discount allowed account as $1, 620.  iv. rent paid in the amount of $24, 000 had been posted to the credit of the rent received account.  v. wayne returned goods valuing $1, 680 to daniels enterprise but had been completely omitted from the books.    required: 1. prepare the journal entries to correct the errors.  (narrations required)                    14.5 marks  2.    prepare the suspense account showing clearly the original trial balance error.          8 marks

For each of the following users of financial accounting information and managerial accounting information, specify whether the user would primarily use financial accounting information or managerial accounting information or both: 1. sec examiner 2. bookkeeping department 3. division controller 4. external auditor (public accounting firm) 5. loan officer at the company's bank 6. state tax agency auditor 7. board of directors 8. manager of the service department 9. wall street analyst 10. internal auditor 11. potential investors 12, current stockholders 13. reporter from the wall street journal 14. regional division managers