Calculate the WACC WACC = [(WE) x RE] + [(WPF) x RPF] + [(WD) x RD x

Fantastic news! We've Found the answer you've been seeking!

Question:

Calculate the WACC

WACC = [(WE) x RE] + [(WPF) x RPF] + [(WD) x RD x (1- TC)]

Weight for equity= 94.04%

cost of equity= 6.95%

weight for debt= 5.96%

cost of debt= 0.55%

Tax rate= 15.64%

Related Book For answer-question

Practical financial management

ISBN: 978-0324422634

5th Edition

Authors: William r. Lasher

See More Books

Posted Date: Aug 24, 2023 06:51 AM

See More Questions

The raw data for Problem 22, from Freund (1979), appear below. For the model of Problem 22, a. Fit the model. b. What discrepancies do you note between the results of (a) and the data summary...
(10 points) Given that ry + xy = 1. 1. Find a solution of the differential equation that satisfies the initial condition y(1) = 10. Answer: y = 2. Find a solution of the differential equation that...
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
In Exercises, use the alternative form of the derivative to find the derivative at x = c (if it exists). f(x) = 1 x + 4' c = 3
Zither Co. manufactures a product called Zens in a three-process series. All materials are introduced at the beginning of the first process. Zither uses the first-in, first-out method of inventory...
Comment on the following: Depreciation accounting is imperfect for analysis purposes.
Given this example, what could you do to create more positive emotions?
Values for the NASDAQ composite index during the 1,500 days preceding March 10, 2006, can be downloaded from the authors web site. Calculate the one-day 99% VaR and the one-day 99% ES on March 10,...
On November 1 , 2 0 2 3 , Cheng Company ( a U . S . - based company ) forecasts the purchase of goods from a foreign suppller for 1 3 0 , 0 0 0 yuan. Cheng expects to recelve the goods on April 3 0 ,...
In Part III (Appendix 11B) of the audit case, the audit staff of Adams, Barnes & Co. identified specific revenue risks on working paper RA-12 (page 494). However, the Summary of Audit Approach...
NFL Shop will be selling the Denver Broncos jerseys next year. The fan store will set the retail price of the jersey at $100 and buy jerseys from Nike for $60. Leftover jerseys will be sold at the end
The table below provides stock market information for three different countries. Country A Country B Country C Information asymmetry Moderate Low Moderate Transaction Cost Moderate Moderate High...
Jackson Corporation has negative 3 0 , 0 0 0 of accumulated EP and positive 4 0 , 0 0 0 of current EP . On June 1 , Jackson Corporation distributes 4 0 , 0 0 0 to its shareholder Latoya. On August 1...
Consider the graph of f (x) = 2 Find a number > 0 such that if | x - 3| <0, then | f(x)=3| < 0.18. f(x) 3.18 2.82 3 OA. 0.09 O B. 0.63 O C. 0.07 O D. 0.79 3-8 3 3 +8 X
Using the method of substitution, I = Sz (2 + 3x)dz = [f(u)du where u = du = f(u) == Using the above information: z (2+3x)dz = [ f(u)du dx (in terms of u) (in terms of x) Note: Don't forget the...
A charged particle (with q = 16 x 10-6 C) is moving with a speed of 27 x 105 m/s when it encounters a magnetic field of 1.5 T. The direction of the magnetic field makes an angle of 30.0 with respect...
Question Determine the exact values of sin 0 and cos 0 given that the terminal side of angle 0 intersects the unit circle in the first quadrant at (y). Provide your answer below:
Conduct a VRIO analysis by ranking Husson University (in Maine) business school in terms of the following six dimensions relative to the top three rival schools. If you were the dean with a limited...
The Appleridge Company is a large manufacturer of capital goods. (The demand for capital goods typically swings up and down a great deal between good and bad economic times.) Business has been good...
What, in general, is meant by off balance sheet financing?
Under what conditions is a bond almost certain to be called at a particular date in the future? How does this condition affect its price?
Inherent Risk. Microsoft and Netscape were in fierce competition for dominance of the Internet web browser and software market in 1996. Netscape entered the Internet web browser market first and...
Materiality. Materiality should be considered by the auditor when (a) determining the nature, timing and extent of audit procedures and (b) evaluating the effect of misstatements. Required A. Define...
Audit risk. The following terms are related to audit risk: 1 Audit risk 2 Inherent risk 3 Control risk 4 Detection risk 5 Inherent limitations of an audit Required For each term: A. Provide a...

Calculate the WACC WACC = [(WE) x RE] + [(WPF) x RPF] + [(WD) x RD x

Question:

Expert Answer:

Using the provided values Weight for Equity WE 9404 Cos... View the full answer

Practical financial management

Students also viewed these accounting questions