Citee corp. has no debt but can borrow at 5.5 percent. the firm’s wacc is currently 9 percent, and the tax rate is 21 percent. a. what is the company’s cost of equity? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.) b. if the firm converts to 40 percent debt, what will its cost of equity be? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.) c. if the firm converts to 70 percent debt, what will its cost of equity be? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.) d-1. if the firm converts to 40 percent debt, 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.) d-2. if the firm converts to 70 percent debt, what is the company’s wacc? (do not round intermediate calculations. enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.)
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Business, 22.06.2019 06:30
"in my opinion, we ought to stop making our own drums and accept that outside supplier's offer," said wim niewindt, managing director of antilles refining, n.v., of aruba. "at a price of $21 per drum, we would be paying $4.70 less than it costs us to manufacture the drums in our own plant. since we use 70,000 drums a year, that would be an annual cost savings of $329,000." antilles refining's current cost to manufacture one drum is given below (based on 70,000 drums per year):
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Business, 22.06.2019 12:30
Amap from a trade development commission or chamber of commerce can be more useful than google maps for identifying
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Business, 22.06.2019 17:30
Betty contracted with scooby’s skate store to deliver a pair of skates to jake for his birthday. scooby’s owner was going on a trip and delegated the delivery of the skates to brian. brian failed to make delivery.can jake sue brian for breach of contract, as he was not a party to the original contract? explain your answer. brian was not a party to the original contract. why would a court hold him responsible for failing to make delivery? if you do not think a court would hold him responsible, explain your answer. can jake sue scooby’s skates for breach of contract? explain your answer.
Answers: 2
Business, 22.06.2019 23:30
The upper-level managers of synergy technology are meeting for the week to look at the long-term company goals and overall direction of the organization. the ceo has expressed her concern over the economy and has told her managers to look closely at the environment outside the organization before making decisions and to be future oriented. in this meeting, top managers of synergy are
Answers: 2
Citee corp. has no debt but can borrow at 5.5 percent. the firm’s wacc is currently 9 percent, and t...
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