Question 55 Not yet answered Marked out of 1.00 Flag question Watson's Automotive has a $400,000 bond issue outstanding that is selling at 110 percent of face value. Watson's also has 21,000 shares of common stock outstanding with a market price of $21 a share. What is the weight of the debt as it relates to the firm's weighted average cost of capital? Select one: a. 40 percent b. 50 percemt c.46 percent d. 48 percent e. 42 percent Question 53 Not yet answored Marked out of 1.00 P Flag question If a firm produces a 12 percent return on assets and also a 12 percent return on equity, then the firm: Select one: a. is using its assets as efficiently as b. also has a current ratio of 10. c. has no net working capital. d. has no debt of any kind. e. has an equity multiplier of 2. Question 54 Not yet answered Marked out of 1.00 P Flag question An investment earned the following returns for the years 2013 through 2016:20%, 5%, -30%, and 10%. What is the variance of returns for this investment? Select one: a. 0.0892 b. 0.1092 c. 0.1541 d. 0.0473 e. 0.2987