Assuming That the Corporation Has a 34% MTR,which of the Following

question 16

Multiple Choice

Assuming that the corporation has a 34% MTR,which of the following statements is true?

• A)Jacky,Inc.borrowed $500,000 and paid interest of $48,000; the after-tax cost of the interest was $31,680.
• B)Jacky,Inc issued 1,000 shares of 7%,$100 par preferred stock for $100,000.The after-tax cost of the $7,000 dividend paid was $4,620.
• C)Jacky,Inc issued 1,000 shares of 7%,$100 par preferred stock for $100.The after-tax cost of the $7,000 dividend paid was $2,380.
• D)Jacky,Inc.borrowed $500,000 and paid interest of $48,000; the after-tax cost of the interest was $16,320.

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Definitions:

SMS

Short Message Service, a text messaging service component of most telephone, internet, and mobile-device systems allowing the exchange of short text messages.

Intrabusiness Applications

Software and systems used within a business to facilitate operations, manage resources, and enhance internal communication and workflows.

Location Services

A range of services provided by mobile phone networks, internet providers, and applications, that use information derived from GPS coordinates to offer services relevant to the geographic location of users.

Mobile Wallet

A mobile wallet is a digital version of a physical wallet, allowing users to conduct transactions and store information such as credit card details, loyalty cards, and coupons on their mobile devices.