Which of the following describes a situation where you would most likely choose passive income over another type of income?

a.
a very successful band wants to record a song you wrote. you can sell the rights to the song or keep the rights and collect a percentage of the price of each compact disk sold.
b.
you own a home. you can sell it now to make a profit or you can rent it out for a year, giving the renter the option to buy it for the balance owed.
c.
the stocks you own go up and down in value, but are now up. you can keep the stocks and collect any monthly dividends or sell them for all for profit now.
d.
your company offers you two options of how you can be paid. you can be paid an annual salary or an hourly wage.

marketing strategies should be established before marketing objectives are decided. t/f

Personal financial planning is the process of creating and achieving financial goals? true or false

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