The present value of interest tax shields on this debt is $76,000. 7. wacc whispering pines, inc., is all-equity-financed. the expected rate of return on the company’s shares is 12%. a. what is the opportunity cost of capital for an average-risk whispering pines investment? b. suppose the company issues debt, repurchases shares, and moves to a 30% debt-to-value ratio (d/v = .30). what will be the company’s weighted-average cost of capital at the new capital structure? the borrowing rate is 7.5% and the tax rate is 35%.

Which of the following statements accurately describes how costs and benefits are calculated?

The following cost data relate to the manufacturing activities of chang company during the just completed year: manufacturing overhead costs incurred: indirect materials $ 15,800 indirect labor 138,000 property taxes, factory 8,800 utilities, factory 78,000 depreciation, factory 150,600 insurance, factory 10,800 total actual manufacturing overhead costs incurred $ 402,000 other costs incurred: purchases of raw materials (both direct and indirect) $ 408,000 direct labor cost $ 68,000 inventories: raw materials, beginning $ 20,800 raw materials, ending $ 30,800 work in process, beginning $ 40,800 work in process, ending $ 70,800 the company uses a predetermined overhead rate of $20 per machine-hour to apply overhead cost to jobs. a total of 20,500 machine-hours were used during the year. required: 1. compute the amount of underapplied or overapplied overhead cost for the year. 2. prepare a schedule of cost of goods manufactured for the year.

Microsoft's stock price peaked at 6118% of its ipo price more than 13 years after the ipo suppose that $10,000 invested in microsoft at its ipo price had been worth $600,000 (6000% of the ipo price) after exactly 13 years. what interest rate, compounded annually, does this represent? (round your answer to two decimal places.)