Maurice Tutor

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Teaching Since: May 2017
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Business & Finance Posted 12 May 2018 My Price 7.00

Micro Spinoffs, Inc

Q1: Cost of Debt. Micro Spinoffs, Inc, issued 20-year debt a year ago at par value with a coupon rate of 8%, paid annually. Today, the debt is selling at $1,050. If the firm’s tax bracket is 35%, what is its after-tax cost of debt?

 

 

                  Case study # 1:                             The Fashion Channel

   Name:                             Faizan Ahmed

                                   Reg #:                               30498

                           Instructor:                               Sir Rehan Shakoor

                                Section:                                Sun 11.50- 2.35


 

Recommendations

            I would have two recommendations. First one is for short run. Since there is a new competition is about to start between new players we need a quick approach. So with the highest average rating value and a higher CPM than the current situation, Scenario 3 would be the best option. Because in this one we focus on two segments; Fashionistas that contains the people of high interest in fashion which means high CPM and Planners & Shoppers that has the highest clusters size which means high average rating. This is how we can ensure our current position in the market with high net income.

            Secondly for the long run I would recommend Scenario 2 that targets only Fashionistas. Their loyality seems to be continued for a long period of time since their interest of fashion stay at the same level and The Fashion Channel will be the only network that broadcasts fashion shows 24 hours per day, 7 days per week. Another reason is that they are younger audience which higher income and their influence among people around them would be important since they have well costumer experiences.

 

Answers

(5)
Status NEW Posted 12 May 2018 09:05 PM My Price 7.00

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