Business, 07.11.2019 03:31 mcckenziee

Cede & co. expects its ebit to be $91,000 every year forever. the company can borrow at 7 percent. the company currently has no debt and its cost of equity is 12 percent and the tax rate is 22 percent. the company borrows $150,000 and uses the proceeds to repurchase shares. a. what is the cost of equity after recapitalization? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.) b. what is the wacc? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.)

Answers: 3

Show answers

Other questions on the subject: Business

Business, 22.06.2019 19:10, kingjustin0825

Below are the steps in the measurement process of external transactions. arrange them from first (1) to last (6). event step post transactions to the general ledger. assess whether the transaction results in a debit or credit to account balances. use source documents to identify accounts affected by an external transaction. analyze the impact of the transaction on the accounting equation. prepare a trial balance. record the transaction in a journal using debits and credits.

Answers: 3

continue

Business, 22.06.2019 19:30, Lucid4465

Which of the following constitute the types of unemployment occurring at the natural rate of unemployment? a. frictional and cyclical unemployment. b. structural and frictional unemployment. c. cyclical and structural unemployment. d. frictional, structural, and cyclical unemployment.

Answers: 2

continue

Business, 22.06.2019 22:40, aupein

Southeastern oklahoma state university's business program has the facilities and faculty to handle an enrollment of 2,000 new students per semester. however, in an effort to limit class sizes to a "reasonable" level (under 200 generally), southeastern's dean, holly lutze, placed a ceiling on enrollment of 1,600 new students. although there was ample demand for business courses last semester, conflicting schedules allowed only 1,440 new students to take business courses. the utilization rate for southeastern=%the efficiency rate for southeastern=%

Answers: 3

continue

Business, 23.06.2019 03:00, andr8aa

If joe to go decides to produce its coffee beans domestically and sell them in india through a local retailer, this would be an example of

Answers: 2

continue

You know the right answer?

Cede & co. expects its ebit to be $91,000 every year forever. the company can borrow at 7 perce...