re: finance  cost of capital
Project Description:
given the following, find the wacc assuming the company‘s tax rate is 30%.
debt: 8500 bonds, outstanding with a 7.2% coupon, $1000 par value, 25 years to maturity, current market yield is 5,82%, coupons made semiannually.
ordinary shares: 225000 shares outstanding, selling for $87 per share, beta is 1.15.
preference shares: paying dividends of 8% of a $100 par value, 15 000 outstanding, currently selling for $98 per share.
other information: market risk premium = 7%, riskfree rate = 3.1%
a) what is the total market value of the bonds?
b) what is the total market value of preference shares?
c) what is the total market value of ordinary shares?
d) what is the required rate of return on preference shares?
e) what is the required rate of return on ordinary shares?
f) what is the weighted average cost of capital?
already have the answers, just need the working out.
debt: 8500 bonds, outstanding with a 7.2% coupon, $1000 par value, 25 years to maturity, current market yield is 5,82%, coupons made semiannually.
ordinary shares: 225000 shares outstanding, selling for $87 per share, beta is 1.15.
preference shares: paying dividends of 8% of a $100 par value, 15 000 outstanding, currently selling for $98 per share.
other information: market risk premium = 7%, riskfree rate = 3.1%
a) what is the total market value of the bonds?
b) what is the total market value of preference shares?
c) what is the total market value of ordinary shares?
d) what is the required rate of return on preference shares?
e) what is the required rate of return on ordinary shares?
f) what is the weighted average cost of capital?
already have the answers, just need the working out.
Skills Required:
Project Stats:
Price Type: Fixed
Project Budget:
$0 to $10
Completed
Total Proposals: 13
1 Current viewersl
127 Total views
Project posted by:
Proposals
Proposals
Reputation
Price offered

I did similar kind of work past days and do you want it into excel?462 Jobs 283 Reviews $20 in 1 Day

i am willing for this given the following, find the wacc assuming the company‘s tax rate is 30%. d...more72 Jobs 31 Reviews $30 in 2 Days

Judas kindly contact me i will help u waiting for hire thank you552 Jobs 389 Reviews $15 in 1 Day

hello judas,i will deliver a quality work over Re: finance  cost of capital below,pleaese hire me69 Jobs 35 Reviews $10 in 1 Day

hi judas,can help you on Re: finance  cost of capital resulting to a good grade,kindly hire me98 Jobs 44 Reviews $10 in 1 Day
 39 Jobs 24 Reviews $20 in 1 Day

hello judas i will provide you the best solution please give me a chance to do this for you0 Jobs 0 Reviews $7 in 36 Hours

Greetings! Please concern with me i am willing to do it ,I can do all perfect answers...more12 Jobs 6 Reviews $20 in 1 Day

hello, i think you need the expert in this field. who else other than me?239 Jobs 131 Reviews $27 in 2 Days

I am a master in this cost capital work, previously I have done many works similar to this, Please h...more71 Jobs 33 Reviews $15 in 20 Hours