Author Question: If the interest rate is 7 and the tax rate is 15, what is the after -tax cost of capital for the ... (Read 54 times)

Kthamas

  • Hero Member
  • *****
  • Posts: 546
If the interest rate is 7 and the tax rate is 15, what is the after -tax cost of capital for the firm?
 
  What will be an ideal response?

Question 2

A multinational enterprise is defined as a company that
 
  A) controls production assets in more than one country.
  B) has board members from a variety of countries.
  C) exists primarily to avoid taxes.
  D) has stock that is publicly traded in many countries.



amynguyen1221

  • Sr. Member
  • ****
  • Posts: 355
Answer to Question 1

.07(1 - .15 ) = 5.95

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

A serious new warning has been established for pregnant women against taking ACE inhibitors during pregnancy. In the study, the risk of major birth defects in children whose mothers took ACE inhibitors during the first trimester was nearly three times higher than in children whose mothers didn't take ACE inhibitors. Physicians can prescribe alternative medications for pregnant women who have symptoms of high blood pressure.

Did you know?

Addicts to opiates often avoid treatment because they are afraid of withdrawal. Though unpleasant, with proper management, withdrawal is rarely fatal and passes relatively quickly.

Did you know?

The largest baby ever born weighed more than 23 pounds but died just 11 hours after his birth in 1879. The largest surviving baby was born in October 2009 in Sumatra, Indonesia, and weighed an astounding 19.2 pounds at birth.

Did you know?

The Centers for Disease Control and Prevention has released reports detailing the deaths of infants (younger than 1 year of age) who died after being given cold and cough medications. This underscores the importance of educating parents that children younger than 2 years of age should never be given over-the-counter cold and cough medications without consulting their physicians.

Did you know?

The most dangerous mercury compound, dimethyl mercury, is so toxic that even a few microliters spilled on the skin can cause death. Mercury has been shown to accumulate in higher amounts in the following types of fish than other types: swordfish, shark, mackerel, tilefish, crab, and tuna.

For a complete list of videos, visit our video library