Calculate WACC for the following information. Company: Cathleen Sinclair General Health & Beauty Women's Care Company Skin
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Calculate WACC for the following information.
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Company: Cathleen Sinclair General Health & Beauty Women's Care Company Skin Care Enterprises Average Calculate WACC Debt/ Equity/ Levered Jnlevered EV MV MV Debt Equity EV 81.6% 18.4% 16.5% 83.5% 10.0% 90.0% 23.6% 76.4% 32.9% 49.1% Beta 2.22 1.95 1.14 1.35 1.67 Beta 0.61 1.74 1.07 1.14 1.14 Unlevered Levered Cost of Cost of Debt Beta Beta Equity After-Tax WACC Assumptions: 20-Year Treasury Equity Risk Premium Tax Rate Est. Hansson EBITDA Multiple Est. Hansson Enterprise Value (EV) Existing Net Debt Plus: New Expansion Debt Total Estimated Debt Existing D/EV Estimated New D/EV Estimated Cost of Debt - PRE-TAX 3.75% 5.00% 40.0% 7.0x 514.5 49.8 57.8 107.6 9.7% 20.9% 7.75% Company: Cathleen Sinclair General Health & Beauty Women's Care Company Skin Care Enterprises Average Calculate WACC Debt/ Equity/ Levered Jnlevered EV MV MV Debt Equity EV 81.6% 18.4% 16.5% 83.5% 10.0% 90.0% 23.6% 76.4% 32.9% 49.1% Beta 2.22 1.95 1.14 1.35 1.67 Beta 0.61 1.74 1.07 1.14 1.14 Unlevered Levered Cost of Cost of Debt Beta Beta Equity After-Tax WACC Assumptions: 20-Year Treasury Equity Risk Premium Tax Rate Est. Hansson EBITDA Multiple Est. Hansson Enterprise Value (EV) Existing Net Debt Plus: New Expansion Debt Total Estimated Debt Existing D/EV Estimated New D/EV Estimated Cost of Debt - PRE-TAX 3.75% 5.00% 40.0% 7.0x 514.5 49.8 57.8 107.6 9.7% 20.9% 7.75%
Expert Answer:
Answer rating: 100% (QA)
To calculate the Weighted Average Cost of Capital WACC we will use the following formula WACC EV Re DV Rd 1 Tc where E Market Value of Equity D Market ... View the full answer
Related Book For
Financial Accounting
ISBN: 978-0134127620
11th edition
Authors: Walter Harrison, Charles Horngren, William Thomas, Wendy Tietz
Posted Date:
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