delta lighting has 30,000 shares of common stock outstanding at a market price of $15 a share. this stock was originally issued at $31 per share. the firm also has a bond issue outstanding with a total face value of $280,000 which is selling for 86 percent of par. the cost of equity is 13 percent while the aftertax cost of debt is 6.9 percent. the firm has a beta of 1.48 and a tax rate of 30 percent. what is the weighted average cost of capital?

When a shortage or a surplus arises in the loanable funds market a. the supply of loanable funds changes to return the economy to its original real interest rate b. the nominal interest rate is pulled to the new equilibrium level c. the demand for loanable funds changes to return the economy to its original real interest rate d. the real interest rate is pulled to the new equilibrium level

Precision aviation had a profit margin of 6.25%, a total assets turnover of 1.5, and an equity multiplier of 1.8. what was the firm's roe? a. 15.23%b. 16.03%c. 16.88%d. 17.72%e. 18.60%

Data for hermann corporation are shown below: per unit percent of sales selling price $ 125 100 % variable expenses 80 64 contribution margin $ 45 36 % fixed expenses are $85,000 per month and the company is selling 2,700 units per month. required: 1-a. how much will net operating income increase (decrease) per month if the monthly advertising budget increases by $9,000 and monthly sales increase by $20,000? 1-b. should the advertising budget be increased?