what is the WACC? 1. A firm has a target debt-to-equity ratio of 1. Its cost...
2. A firm has a target debt-to-equity ratio of 3. Its cost of equity equals 12 percent, its cost of debt is 9 percent, and the tax rate is 34 percent. What is the WACC? a) 7.46 percent. b) 8.97 percent d) 10.00 percent. d) 10.49 percent.
WACC Kose, Inc., has a target debt-equity ratio of .38. Its WACC is 10.1 percent and the tax rate is 25 percent. a. If the company’s cost of equity is 12 percent, what is its pretax cost of debt? b. If instead you know that the after tax cost of debt is 6.4 percent, what is the cost of equity?
Starset, Inc., has a target debt-equity ratio of 1.30. Its WACC is 8.8 percent, and the tax rate is 23 percent. a. If the company’s cost of equity is 12 percent, what is its pretax cost of debt? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. If instead you know that the aftertax cost of debt is 6.3 percent, what is the cost of equity? (Do not round...
1. Sixx AM Manufacturing has a target debt—equity ratio of 0.59. Its cost of equity is 18 percent, and its cost of debt is 12 percent. If the tax rate is 31 percent, what is the company's WACC? rev: 09_20_2012 12.27% 11.89% 15.11% 13.67% 14.39% 2. The Bet-r-Bilt Company has a 5-year bond outstanding with a 4.30 percent coupon. Interest payments are paid semi-annually. The face amount of the bond is $1,000. This bond is currently selling for 93 percent...
Kose, Inc., has a target debt-equity ratio of 1.31. Its WACC is 8.1 percent, and the tax rate is 22%. a. If the company's cost of equity is 12%, what is its pretax cost of debt? b. If instead you know that the after-tax cost of debt is 5.8%, what is the cost of equity?
Kose, Inc., has a target debt-equity ratio of .45. Its WACC is 8.8 percent, and the tax rate is 24 percent. a. If the company’s cost of equity is 11 percent, what is its pretax cost of debt? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. If instead you know that the aftertax cost of debt is 6.2 percent, what is the cost of equity? (Do not round...
Tulloch Manufacturing has a target debt-equity ratio of 63. Its cost of equity is 13.7 percent, and its pretax cost of debt is 8.7 percent If the tax rate is 30 percent, what is the company's WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.. 32.16.) WACC
Caddie Manufacturing has a target debt-equity ratio of 35. Its cost of equity is 12 percent, and its pretax cost of debt is 6 percent. If the tax rate is 21 percent, what is the company's WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) % WACC
Caddie Manufacturing has a target debt-equity ratio of .90. Its cost of equity is 12 percent, and its pretax cost of debt is 7 percent. If the tax rate is 25 percent, what is the company's WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. WACC
Lannister Manufacturing has a target debt-equity ratio of .35. Its cost of equity is 12 percent, and its cost of debt is 6 percent. If the tax rate is 21 percent, what is the company's WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) WACC