BUS 420 Study Guide - Midterm Guide: W. M. Keck Observatory, Promissory Note, Capital Structure

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Prices would decline and interest rates would rise. 10m-15m 3,400,000 35% 1,750,000 15m-18. 33m 5,150,000 38% 1,266,666. 54. Assume that the company adopts this policy, and that total assets and operating income (ebit) remain the same. The company"s tax rate will also remain the same. Which of the following will occur - the company"s net income will increase: a firm has notes payable of ,546,000, long-term debt of ,000,000, and total interest expense of ,300,000. The company"s market value added (mva) is million. : carter corporation has some money to invest, and its treasurer is choosing between city of chicago municipal bonds and microsoft corporate bonds. Both have the same maturity, and they are equally risky and liquid. 3. 60: marvin industries is expanding its operations throughout the southeast united states. will increase sales by. Depreciation expenses will rise by ,000 and interest expense will increase by ,000. The company"s tax rate will remain at 40 percent.