In the CAPM model, the market beta is by definition equal to 1.

If the estimated cost of equity is 7.34%, the estimated cost of debt is 6.20%, the tax rate is 12.10% and the market value of debt and equity is 58 million and 42 million, respectively, what is the weighted average cost of capital (WACC) for the firm?

Jerry’s Burgers is considering opening a new location in the large city where it currently has four other locations.  The combined sales at the other four locations are $3,245,000 annually.  The new location is expected to generate sales of $760,000 in the first year with 3% sales growth per year for the next 5 years.  If the operating profit margin is 32% and the tax rate is 15%, what is the net after-tax cash flow for the new unit for the first year of operations?

All else equal, one would expect a company whose stock has a low beta to have a higher weighted average cost of capital (WACC) than a company whose stock has a high beta.

Given the following information, what is the company’s Cash Conversion Cycle (CCC)? Sales on credit  $        260,000 Cost of good sold             190,000 Purchases               95,000 Accounts receivable               19,945 Inventory               23,425 Accounts payable                 5,466

In the MasterDecker case, which projects were positive NPV when using correct estimations of the cash flows?

In constructing a common-size income statement, every line item on the balance sheet should be divided by:

Given the following information, what is the company’s Cash Conversion Cycle (CCC)? Inventory period                 65.00 Collection period                 30.00 Payables period                 17.00

Natural selection may best be defined as 

The bones of vertebrate limbs maintain similarity despite modification for different functions. Research has shown that these similarities are the result of descent from a common vertebrate ancestor. This is an example of