Clancy's just paid its annual dividend of $1.48 per share. Analysts expect the stock price to increase by 2.1 percent annually a

A. expose customers to high-margin items.

After evaluating the email, it's clear that it lacks formal tone and is missing a proper subject line. The email opens rather bluntly and unprofessionally. It also includes negative expressions, such as "unfortunately I cannot buy extra license." Here’s a revised version: To: staff computer users From: Anna He Wong <ahwong(at the rate)csb.com> Subject: Informing about the Adobe Creative Cloud access request. Dear staff, This email serves to notify you that we cannot procure additional access to the Adobe Creative Cloud for personal use due to high costs and the expensive nature of access codes. I extend my apologies to those who sought this privilege. The cloud suite offers numerous features, and I would be happy to demonstrate it if you contact the Document Production Department. Keep in mind that this software operates on a subscription basis and requires unique access keys, which cannot be used on more than one computer. I appreciate your understanding regarding this matter, and if additional access were granted, it might not be beneficial for our business. Thank you for your cooperation. Best regards, Anna He Wong Document Production Manager.

Answer:

The sales amount is $2,500,000

Explanation:

To achieve a net income of $450,000 this year, the company needs to total its net income with variable and fixed costs.

To clarify, we apply the net income formula:

net income=sales-variable costs-fixed costs

By reworking the formula, sales can be calculated as:

sales=net income+variable costs+fixed costs

variable costs equal to 70% of sales,, rendering sales to be 0.7 times sales

sales=$450,000+$300,000+0.7 sales

This leads to sales - 0.7 sales = $750,000

Thus, 0.3 sales equals $750,000

As a result, sales equals $750,000/0.3 which is $2,500,000

Response:

a.

16%

b.

17.3%

c.

23.25%

d.

16%

Clarification:

WACC represents the average cost of capital for a firm, based on the proportions of debt and equity multiplied by their respective costs.

Having the capital cost, the next step is to compute the equity cost.

Cost of Capital = (Cost of Equity x Proportion of equity) + (Cost of Debt x Proportion of Debt)

a.

No Debt

16% = (Cost of Equity x 1 ) + (8.75% x 0)

16% = Cost of Equity + 0

Cost of Equity = 16%

b.

15% Debt and 85% for Equity (100%-15%)

16% = (Cost of Equity x 85% ) + (8.75% x 15%)

0.16 = (Cost of Equity x 0.85) + 0.013125

0.16 - 0.013125 = Cost of Equity x 0.85

0.146875 = Cost of Equity x 0.85

Cost of Equity = 0.146875 / 0.85 = 0.17279

Cost of Equity = 17.3%

c.

50% Debt and 50% for Equity (100%-50%)

16% = (Cost of Equity x 50% ) + (8.75% x 50%)

0.16 = (Cost of Equity x 0.50) + 0.04375

0.16 - 0.04375 = Cost of Equity x 0.50

0.11625 = Cost of Equity x 0.50

Cost of Equity = 0.11625 / 0.50 = 0.2325

Cost of Equity = 23.25%

d.

WACC in b and c remains at 16%