Debt company has a capital structure of 50% debt and 50% equity. If a company has...

 

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Debt company has a capital structure of 50% debt and 50% equity. If a company has a WACC of 8.5% and a cost of equity of 12%, the company has a tax rate of 20%. Find the cost of debt (cost of debt) cost of debt Answer........... % Madee's shares are currently priced at 14.67 baht, if this stock just pays dividends to shareholders of 2.20 baht. In the past, this stock has paid dividends at an average growth of 4% per year. Find the rate of return for this stock. cost of equity Answer..... Debt company has a capital structure of 50% debt and 50% equity. If a company has a WACC of 8.5% and a cost of equity of 12%, the company has a tax rate of 20%. Find the cost of debt (cost of debt) cost of debt Answer........... % Madee's shares are currently priced at 14.67 baht, if this stock just pays dividends to shareholders of 2.20 baht. In the past, this stock has paid dividends at an average growth of 4% per year. Find the rate of return for this stock. cost of equity Answer.....

Answer rating: 100% (QA)

To find the cost of debt you can use the formula Cost of Debt ... View the full answer