subject
Business, 20.11.2019 23:31 JJJuliedavis

Consider the case of purple lemon fruit company: ten years ago, purple lemon fruit company issued a perpetual preferred stock issue-called ps alpha-that pays a fixed dividend of $6.50 per share and currently sells for $100 per share. purple lemon's management team is considering issuing a second issue of perpetual preferred stock. if the new issue tentatively called ps beta-is actually sold, the company will incur an underwriting (or flotation) cost of 4.70%. in addition, the underwriters are anticipating the need to pay a dividend of $17.50 per share to attract new investors, and is expecting to sell the new shares for $95.00 per share as a component in purple lemon's weighted average cost of capital, ps alpha shares currently exhibit a cost of: 4.88% 8.13% o 7.48% 6.50%

ansver
Answers: 1

Other questions on the subject: Business

image
Business, 22.06.2019 03:40, Jackson4568
Oceanside marine company manufactures special metallic materials and decorative fittings for luxury yachts that require highly skilled labor. oceanside uses standard costs to prepare its flexible budget. for the first quarter of the year, direct materials and direct labor standards for one of their popular products were as follows: direct materials: 2 pound per unit; $ 11 per pound direct labor: 2 hours per unit; $ 19 per hour oceanside produced 2 comma 000 units during the quarter. at the end of the quarter, an examination of the direct materials records showed that the company used 7 comma 500 pounds of direct materials and actual total materials costs were $ 98 comma 100. what is the direct materials cost variance? (round any intermediate calculations to the nearest cent, and your final answer to the nearest dollar.)
Answers: 1
image
Business, 22.06.2019 09:40, watervliet2586
The relationship requirement for qualifying relative requires the potential qualifying relative to have a family relationship with the taxpayer. t or fwhich of the following is not a from agi deduction? a. standard deductionb. itemized deductionc. personal exemptiond. none of these. all of these are from agi deductions
Answers: 3
image
Business, 22.06.2019 15:20, byler47
Capital financial corporation will lend 90 percent against account balances that have averaged 30 days or less; 80 percent for account balances between 31 and 40 days; and 70 percent for account balances between 41 and 45 days. customers that take over 45 days to pay their bills are not considered acceptable accounts for a loan. the current prime rate is 16.50 percent, and capital charges 3.50 percent over prime to charming as its annual loan rate. a. determine the maximum loan for which charming paper company could qualify.
Answers: 1
image
Business, 22.06.2019 18:00, 20jhuffman
Bond j has a coupon rate of 6 percent and bond k has a coupon rate of 12 percent. both bonds have 14 years to maturity, make semiannual payments, and have a ytm of 9 percent. a. if interest rates suddenly rise by 2 percent, what is the percentage price change of these bonds?
Answers: 2
You know the right answer?
Consider the case of purple lemon fruit company: ten years ago, purple lemon fruit company issued a...

Questions in other subjects:

Konu
Biology, 01.09.2019 03:00
Konu
Mathematics, 01.09.2019 03:00
Konu
Mathematics, 01.09.2019 03:00