For the creation of their company, the shareholders of the company New Challenge plan to realize, at
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Question:
For the creation of their company, the shareholders of the company New Challenge plan to realize, at the beginning of 2021, an investment (Economic assets = Fixed assets + WCR) of a value of 2000000 composed of 1600000 of fixed assets and 400000 of WCR.
- The projected EBITDA for the year 2021 is estimated at 410,000.
- The duration of the depreciation of the fixed assets is 8 years.
- The shareholders want to opt for a mixed financing: 40% by equity and 60% by debt.
- The interest rate before tax is 6%.
- The tax rate is 33.1/3%.
Calculate the leverage of the debt, if the shareholders opt for this method of financing.
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