First Banc loaned money to Best Batteries for the purchase of its factory. First Banc took a mortgage on the factory and land. Best Batteries, because the price of its lifetime battery was so high, went out of business within 18 months. Best deeded the title to the factory and land back to First Banc. When First Banc sent in a clean-up firm, it discovered that there were old and new batteries stacked everywhere on the property. First Banc: a. has no responsibility for cleanup of the batteries. b. can sell the property and disclaim liability in the purchase contracts and thus pass along the cleanup to the buyer. c. enjoys a lender's exemption from CERCLA liability. d. none of the above

American gas products manufactures a device called a can-emitor that empties the contents of old aerosol cans in 2 to 3 seconds. this eliminates having to dispose of the cans as hazardous wastes. if a certain paint company can save $75,000 per year in waste disposal costs, how much could the company afford to spend now on the can-emitor if it wants to recover its investment in 3 years at an interest rate of 20% per year?

The market yield on spice grills' bonds is 15%, and the firm's marginal tax rate is 33%. what is their shareholders' required return if the equity risk premium is 4%?

Grey company holds an overdue note receivable of $800,000 plus recorded accrued interest of $64,000. the effective interest rate is 8%. as the result of a court-imposed settlement on december 31, year 3, grey agreed to the following restructuring arrangement: reduced the principal obligation to $600,000.forgave the $64,000 accrued interest.extended the maturity date to december 31, year 5.annual interest of $40,000 is to be paid to grey on december 31, year 4 and year 5. the present value of the interest and principal payments to be received by grey company discounted for two years at 8% is $585,734. grey does not elect the fair value option for reporting the debt modification. on december 31, year 3, grey would recognize a valuation allowance for impaired loans of