subject
Business, 15.07.2021 20:00 wowihavefun

Take It All Away has a cost of equity of 10.60 percent, a pretax cost of debt of 5.31 percent, and a tax rate of 40 percent. The company's capital structure consists of 70 percent debt on a book value basis, but debt is 30 percent of the company's value on a market value basis. What is the company's WACC

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 04:00
Assume that the following conditions exist: a. all banks are fully loaned up- there are no excess reserves, and desired excess reserves are always zero. b. the money multiplier is 5 .     c. the planned investment schedule is such that at a 4 percent rate of interest, investment =$1450 billion. at 5 percent, investment is $1420 billion. d. the investment multiplier is 3 . e.. the initial equilibrium level of real gdp is $12 trillion. f. the equilibrium rate of interest is 4 percent now the fed engages in contractionary monetary policy. it sells $1 billion worth of bonds, which reduces the money supply, which in turn raises the market rate of interest by 1 percentage point. calculate the decrease in money supply after fed's sale of bonds: $nothing billion.
Answers: 2
question
Business, 22.06.2019 12:00
Describe the three different ways the argument section of a cover letter can be formatted
Answers: 1
question
Business, 22.06.2019 14:30
If a product goes up in price, and the demand for it drops, that product's demand is a. elastic b. inelastic c. stable d. fixed select the best answer from the choices provided
Answers: 1
question
Business, 22.06.2019 19:40
Chang corp. has $375,000 of assets, and it uses only common equity capital (zero debt). its sales for the last year were $595,000, and its net income was $25,000. stockholders recently voted in a new management team that has promised to lower costs and get the return on equity up to 15.0%. what profit margin would the firm need in order to achieve the 15% roe, holding everything else constant? a. 9.45%b. 9.93%c. 10.42%d. 10.94%e. 11.49%
Answers: 2
You know the right answer?
Take It All Away has a cost of equity of 10.60 percent, a pretax cost of debt of 5.31 percent, and a...
Questions
question
Health, 01.09.2019 09:30
Questions on the website: 13722367