Assume that capital markets are perfect. A firm finances its operations via $60 million in stock with a required return of 15% and

Assume that capital markets are perfect. A firm finances its operations via $60 million in stock with a required return of 15% and $40 million in bonds at 8%. Assume the company decides to issue an additional $10 million bonds and use the proceeds to retire $10 million worth of equity, (a) what would happen to the firm’s WACC? (4 points)(b) What would happen to the required return on the company’s stock?

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  1. question 1 is 8, question 2 is 9, question 3 is 24

    step-by-step explanation:

    now, the numbers they give you at the top are the key. from there, you just have to plug and chug! let's try 1, 2, and 3!

    key: a=3, b=5, c=6

    1. a+5

    remember, a=3, so we plug that in to get 3+5=8

    2. 15-c

    c=6, so we plug that in to get 15-6=9

    3. 4b

    b=6, so we plug it in to get 4*6=24

    time to try the rest on your own! if you put the answers below in a comment, i'll check them for you!

    [tex]Can somebody solve some basic algebra[/tex]

  2. answer: a) (0,0), (1,1), (2,8), and (3,27).

    step-by-step explanation:

    0^3=0

    1^3=1

    2^3=8

    3^3=27

    in effect, the exponential equation for this would me y=3^x. each x-coordinate cubed is giving the y coordinate, so a is your answer : )

    [tex]Pls i’m which set of ordered pairs could be generated by an exponential function a. (0,0), (1,,8),[/tex]

  3. false

    step-by-step explanation:

    false.   two legs of the trapezoid would be congruent, but the other two would not.   were all the legs congruent, then we'd have a square; were the 2 shorter sides congruent and the 2 longer sides also congruent, we'd have a rectangle.

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