subject
Business, 25.06.2019 04:10 david838843

Use the data provided on cadbury to answer the question below. the risk free rate is 4.25%. the expected return on the market portfolio is 9.75%. the corporate tax rate is 40%. the face value of cadbury's outstanding bonds is 2.450 billion pounds sterling. the coupon rate on cadbury's bonds is 4.5%. assume that the bonds pay annual coupons. the yield to maturity on cadbury's bonds is 4.5%. cadbury's bonds mature in 7 years. cadbury has 1.650 billion common shares outstanding. the market price of cadbury's common shares as of dec 31, 2008 is 6.25 pounds sterling. cadbury's beta is 0.8. cadbury's cost of debt (afterminustax) is 2.7%. cadbury's cost of equity is 8.65%. what is cadbury's wacc?

ansver
Answers: 3

Another question on Business

question
Business, 21.06.2019 23:00
Ajustification for job training programs is that they improve worker productivity. suppose that you are asked to evaluate whether more job training makes workers more productive. however, rather than having data on individual workers, you have access to data on manufacturing firms in ohio. in particu- lar, for each firm, you have information on hours of job training per worker (training) and number of nondefective items produced per worker hour (output). (i) carefully state the ceteris paribus thought experiment underlying this policy question. (ii) does it seem likely that a firm’s decision to train its workers will be independent of worker characteristics? what are some of those measurable and unmeasurable worker characteristics? (iii) name a factor other than worker characteristics that can affect worker productivity. (iv) if you find a positive correlation between output and training, would you have convincingly established that job training makes workers more productive? explain.
Answers: 2
question
Business, 22.06.2019 06:30
Individual consumers belong to which step of choosing a target market? possible customers competition demographics communication
Answers: 2
question
Business, 22.06.2019 09:50
For each of the following users of financial accounting information and managerial accounting information, specify whether the user would primarily use financial accounting information or managerial accounting information or both: 1. sec examiner 2. bookkeeping department 3. division controller 4. external auditor (public accounting firm) 5. loan officer at the company's bank 6. state tax agency auditor 7. board of directors 8. manager of the service department 9. wall street analyst 10. internal auditor 11. potential investors 12, current stockholders 13. reporter from the wall street journal 14. regional division managers
Answers: 1
question
Business, 22.06.2019 12:10
Gwen, a manager at exude apparels inc., received a message from a customer requesting a replacement for a purchased pair of shoes. exude apparels has a clearly stated no-return policy. gwen responded to the customer denying the request in a tactful and clear manner. despite this, the customer submitted a second request. in this scenario, which of the following is an appropriate response to the second request?
Answers: 2
You know the right answer?
Use the data provided on cadbury to answer the question below. the risk free rate is 4.25%. the expe...
Questions
question
Geography, 23.03.2021 14:00
question
English, 23.03.2021 14:00
question
Mathematics, 23.03.2021 14:00
Questions on the website: 13722367