Question: the Problem 1 (15 points) EU Corp. would like to have a 11.5 percent weighted average cost of equity is 15 percent, and its pre-tax
the Problem 1 (15 points) EU Corp. would like to have a 11.5 percent weighted average cost of equity is 15 percent, and its pre-tax cost of debt is 9 percent. The taxat What is the company's target debt equity ratio? Problem 2 (10 points) Illa Corp. is expected to pay a dividend of $2.5 per share at the end of the same dividend is expected to grow at a constant rate of 3% per year in the future the beta is 1.08, the market return is 11%. and the risk-free rate is what the stock price? Problem 3 (15 points)
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