Question: CA Final SEM 77. Su either can 25 equity 75. MP Ltd. issued a new series of bond 2025. Coupon payments are made semiannually on

CA Final SEM 77. Su either can 25 equity 75. MP

CA Final SEM 77. Su either can 25 equity 75. MP Ltd. issued a new series of bond 2025. Coupon payments are made semiannually on June 30th and Decensito at par R1,000), having a coupon rate 10% p.a. and mature on 31st Decenti outstanding MP Ltd. bondon year. Y to pay 210-2015 Ibyowes 31st each year. Assume that you purchased an March, 2018 when the going interest rate was 12%. Required: 78. Ash rati 1. What was the YTM of MP Ltd. bonds as on January 1, 2010? 2. What amount you should pay to complete the transaction? amount how much should be accrued interest and how much (i) represent bonds basic value 76. Calculate the value of share from the following information: 2900 million Profit after Tax (PAT) of the company 13,000 million Equity capital of company 40 each Par value of share 1:3 Debt to Equity ratio of the company 1:2 Debt to Equity ratio of the proxy company Beta of proxy company 0.20 Long run growth rate of the company 8% Risk free interest rate 8.7% 10.3% Market returns 47 39 Capital expenditure per share Depreciation per share Change in Working capital 3.45 per share Assume corporate tax rate to be 30% and Beta of Debt as zero. [RTP Nov 13, May 15] MTP Feb 15, Oct 15 Aug 16] [May 16, 5 Marks

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Case Analysis 1. Compute the yield to maturity of Land'o'Toys' bonds before the purchase announcement and use it to determine the likely current bond rating. (Compare YTM to the table on p. 269)....

Using the Stanford Health Care Consolidated Financial Statements for 2014 ( pages 1-4 ), prepare a brief summary (3 -4 paragraphs) that highlights the current financial status of Stanford and any...

from pages 5-39 of Stanford's Health Care Report- any particular point that feel may be relevant or interesting in regards to financial status current or future for Stanford. Has to be least 200...

I need verification if my answers are right see page 14 of sample final and attached picture. Did I do it right or is the hedging options column wrong? UNIVERSITY OF MANITOBA Faculty of Management...

Attached is a file. See page 14. I need answer for part d). Please read instructions for rounding rules. UNIVERSITY OF MANITOBA Faculty of Management Department of Accounting and Finance Professors:...

HI! can you please answer the Long answer question #1, part h), on the attached file! Thank you very much UNIVERSITY OF MANITOBA Faculty of Management Department of Accounting and Finance Professors:...

could you assist me in completing this pass paper please MGMT2023 Financial Management 1- Final Exam of Semester 2, 2014 Study Guide Exam format & instructions 1) The Final Exam will be 2 hours and...

Hi I need answers immediately. Attached is a file. I need the detailed solutions (no excel, can be typed or handwritten) to the long answer portions ONLY. Please read instructions for rounding rules....

Attached is a file. See page 14. I need answer for part e). Please read instructions for rounding rules. UNIVERSITY OF MANITOBA Faculty of Management Department of Accounting and Finance Professors:...

Figure P36.40 shows a thin glass (n = 1.50) converging lens for which the radii of curvature are R1 = 15.0 cm and R2 = -12.0 cm. To the left of the lens is a cube having a face area of 100 cm2. The...

sin 0 + tan 6 1+ cos 0 cot 0

Jacob Suppliers has not paid out any dividend in the last three years. It does not expect to pay dividends in the neat two years either as two years. What is the present value of the dividends to be...

A company is preparing completing their Cash Budget. The following data has been prepared for cash receipts and payments. January February March Cash receipts $1,061,200 $1,182,400 $1,091,700 Cash...