The film industry is no different from any other, and in the long run, products with low demand are abandoned for products for which the demand, and therefore the potential to maximize profits, is high. accordingly, big-budget films will lead to the eventual demise of art-house cinema. while art-house films consistently receive critical appreciation by the media, audiences are invariably more drawn to blockbusters that are produced by multimillion dollar corporations that can afford to captivate viewers using special effects and the latest technologies.
which of the following would it be most useful to know in order to assess the argument above?
a. whether the most popular actors in the industry will prefer to act mostly in art house films
b. whether the demand for art-house films will be considerably lower than that for blockbusters
c. whether some films produced by large corporations will not use special effects
d. whether the audiences in general will be aware of the budgets of the films produced by multimillion dollar corporations
e. whether big-budget films will also receive critical appreciation by the media

When borrowers want funding to pay for different projects, they go to the loanable funds market and acquire funds through either indirect finance or direct finance. below, you are given five different scenarios. is each an example of direct finance or indirect finance?

Calculate the cost of each capital component—in other words, the after-tax cost of debt, the cost of preferred stock (including flotation costs), and the cost of equity (ignoring flotation costs). use both the capm method and the dividend growth approach to find the cost of equity.calculate the cost of new stock using the dividend growth approach.what is the cost of new common stock based on the capm? (hint: find the difference between re and rs as determined by the dividend growth approach and then add that difference to the capm value for rs.)assuming that gao will not issue new equity and will continue to use the same target capital structure, what is the company’s wacc? e. suppose gao is evaluating three projects with the following characteristics.each project has a cost of $1 million. they will all be financed using the target mix of long-term debt, preferred stock, and common equity. the cost of the common equity for each project should be based on the beta estimated for the project. all equity will come from reinvested earnings.equity invested in project a would have a beta of 0.5 and an expected return of 9.0%.equity invested in project b would have a beta of 1.0 and an expected return of 10.0%.equity invested in project c would have a beta of 2.0 and an expected return of 11.0%.analyze the company’s situation, and explain why each project should be accepted or rejected g

Issued to the joint planning and execution community (jpec) initiates the development of coas; it also requests that the supported ccdr submit a commander's estimate of the situation with a recommended coa to resolve the situation (joint force command and staff participation in the joint operation planning and execution system, page 10)