Multiply; Round Off Monetary Products to the Nearest Cent

question 18

Short Answer

Multiply; round off monetary products to the nearest cent. Do not round off the non-monetary products.
​
a.31.402 ´ 6.55
b.$15.375 ´ 600
c.16.54 ´ 3.93

---

Definitions:

Weighted Average Cost of Capital (WACC)

The rate that a company is expected to pay on average to all its security holders to finance its assets, a key factor in capital budgeting decisions.

Cost of Equity

The return that investors expect for investing in a company's equity, representing the compensation for the risk taken.

Cost of Debt

The effective rate that a company pays on its borrowed funds, which can include loans, bonds, and other forms of debt.

Debt/Equity Ratio

This ratio demonstrates the equity to debt proportion in the context of financing company assets.