subject
Business, 10.06.2021 20:00 tonya3498

Burnham Brothers, Inc. has no retained earnings since it has always paid out all of its earnings as dividends This same situation is expected to persist in the future. The company uses CAPM to calculate its cost of equity and its target capital structure consists of common stock, preferred stock, and debt. Which of the following events would reduce its WACC? a. The flotation costs associated with issuing new common stock increase.
b. The company's beta increases.
c. Expected inflation increases.
d. The market risk premium declines.

ansver
Answers: 1

Another question on Business

question
Business, 23.06.2019 15:00
Jenny​ walters, who owns a real estate​ agency, bought an old house to use as her business office. she found that the ceiling was poorly insulated and that the heat loss could be cut significantly if six inches of foam insulation were installed. she estimated that with the​ insulation, she could cut the heating bill by​ $80 per month and the​ air-conditioning cost by​ $70 per month. assuming that the summer season is three months​ (june, july, and​ august) of the year and that the winter season is another three months​ (december, january, and​ february) of the​ year, how much can jenny spend on insulation if she expects to keep the property for five​ years? assume that neither heating nor​ air-conditioning would be required during the fall and spring seasons. if she decides to install the​ insulation, it will be done at the beginning of may.​ jenny's interest rate is​ 6% compounded monthly.
Answers: 3
question
Business, 23.06.2019 22:00
Airline companies are interested in the consistency of the number of babies on each flight, so that they have adequate safety equipment. suppose an airline conducts a survey. over weekend, it surveys 6 flights from boston to salt lake city to determine the number of babies on the flights. it determines the amount of safety equipment needed by the result of that study.
Answers: 2
question
Business, 23.06.2019 23:00
Ocean co. has paid a dividend $2 per share out of earnings of $4 per share. if the book value per share is $25, what is the expected growth rate in dividends (g)?
Answers: 1
question
Business, 23.06.2019 23:30
Whereas management must deal with the ongoing, day-to-day complexities of organizations, true leadership includes effectively orchestrating change?
Answers: 2
You know the right answer?
Burnham Brothers, Inc. has no retained earnings since it has always paid out all of its earnings as...
Questions
question
Mathematics, 18.04.2021 19:20
question
Mathematics, 18.04.2021 19:20
question
History, 18.04.2021 19:20
question
Engineering, 18.04.2021 19:20
question
English, 18.04.2021 19:20
Questions on the website: 13722363