Use the Following Information to Answer the Question(s)below

question 101

Multiple Choice

Use the following information to answer the question(s) below.
Luther Industries has 25 million shares outstanding trading at $18 per share.In addition,Luther has $150 million in outstanding debt.Suppose Luther's equity cost of capital is 13%,its debt cost of capital is 7%,and the corporate tax rate is 40%.
-Which of the following equations is INCORRECT?

• A)x_i =
• B)R_p = Σ_i x_iR_i
• C)R_p = x₁R₁ + x₂R₂ + ...+ x_nR_n
• D)E[R_p] = E[Σ_i x_iR_i]

---

Definitions:

Clinician

A healthcare professional who works directly with patients in diagnosing and treating illness, conducting clinical research, or providing psychological therapy.

Personal Constructs

The mental frameworks and beliefs that individuals use to interpret events and understand the world around them.

Subconscious Thoughts

Ideas and feelings that are not in immediate awareness but can influence behavior and decision-making.

Repressed Emotions

Emotions that are unconsciously excluded from conscious thought or awareness, often due to their discomforting nature or conflict with one's self-image.