Justice,Inc

question 92

Multiple Choice

Justice,Inc.has a capital structure which is based on 30 percent debt,5 percent preferred stock,and 65 percent common stock.The flotation costs are 11 percent for common stock,10 percent for preferred stock,and 7 percent for debt.The corporate tax rate is 37 percent.What is the weighted average flotation cost?

• A)8.97 percent
• B)9.48 percent
• C)9.62 percent
• D)9.75 percent
• E)10.00 percent

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Definitions:

Recognition And Praise

Acknowledgment and appreciation shown towards individuals for their achievements or contributions, often used as a motivational tool.

Herzberg

A reference to Frederick Herzberg, a psychologist best known for introducing the two-factor theory of motivation, contrasting hygiene factors with motivators.

Dissatisfiers

Factors that, when present, can cause dissatisfaction among employees or customers, but their absence doesn't necessarily lead to satisfaction; often related to basic expectations.

Job Enrichment

Job enrichment is a design principle aimed at enhancing a job's content by adding tasks that increase responsibility, autonomy, and opportunities for personal growth in the role.