Mr. X establishes a company with 220.000 TL in cash. 190,000 TL of this cash amount is paid to a supplier for an equipment purchase. Then the company has a great opportunity to get into a project, but has limited cash to invest in that project. Therefore, it decides to issue bonds and stocks to investors in order to raise funds. On the bond side, the company issues a 3-year, zero coupon bond amounting to TL 30,000. The market return is 10%. On the share side, the company issues 50,000 TL (a nominal value of 1 TL each) share certificates at a price of 2.4 TL. 

What will be the total assets of the company when these transactions are completed?

Answer rating: 100% (QA)

When Mr X establishes the company with 220000 TL in cash the total assets of the company are 220000 ... View the full answer