It is January 2nd and senior management of Baldwin meets to determine their investment plan for the.
[ad_1]
It is January 2nd and senior management of Baldwin meets to determine their investment plan for the year. They decide to fully fund a plant and equipment purchase by issuing $10,000,000 in bonds. Assume the bonds are issued at face value and leverage changes to 2.7. Which of the following statements are true? Check all that apply.
a) Baldwin's long-term debt will rise by $10,000,000
b) Working capital will remain the same at $13,607,943
c) Total Assets will rise to $211,976,070
d) The total investment for Baldwin will be $13,954,930
e) Total liabilities will be $132,001,543
[Button id=”1″]
[ad_2]
Source link
