capital structure of X Ltd. as on 31st Dec 2003, Other Engineering

The following is the capital structure of X Ltd. as on 31st Dec 2003

Rs in million Equity capital (paid up) 563.50
Reserves and surplus 485.66
10% Irredeemable preference shares 56.00
10% Redeemable preference shares 28.18
15% Term loans 377.71
Total 1,511.05
The share of the company is currently selling for Rs 36. The expected dividend next year is Rs 3.60 per share anticipated to be growing at 8% indefinitely. The redeemable preference shares were issued on 1 January 1997 with twelve- year maturity period. A similar issue today will be at Rs 93. The market price of 10% irredeemable preference share is Rs 81.81.
The company had raised the term loan from IDBI in 1993. A similar loan will cost 10% today.
Assume an average tax rate of 35 per cent. Calculate the weights average cost of capital for the company using book- value weights.
Posted Date: 5/18/2012 5:49:40 PM | Location : United States







Related Discussions:- capital structure of X Ltd. as on 31st Dec 2003, Assignment Help, Ask Question on capital structure of X Ltd. as on 31st Dec 2003, Get Answer, Expert's Help, capital structure of X Ltd. as on 31st Dec 2003 Discussions

Write discussion on capital structure of X Ltd. as on 31st Dec 2003
Your posts are moderated
Related Questions
Comparator A comparator is a device, which compares two input voltages and indicates at the output, which of the two is the larger.  Basically, the circuits use a differential

Q. What kind of defects are likely to result in castings due to the following?         (i) Core prints on the core are undersigned.        (ii) Core prints on the core

Q.  What is a unit cell? Ans. UNIT CELL AND LATTICE CONSTANT: The smallest components of space lattice are known as unit cell or in other words when the smallest unit repea

Explain Air temperature indicator

derive the power in case of r-l circuit

method of solving resection

hey, i am doing b.e in chemical engineering but by aggregate is 55%. i would like to know what courses and preparation i have to do to get a good job. pls reply as soon as possible

Slipstream Effect. In passing through the propeller the air is accelerated and given a rotational velocity. The parts of the aircraft that are in the propeller slipstream wi

Nozzle Area and Shape Control In a high by-pass ratio engine with a single-stage fan without inlet guide vanes, the predominant sources governing the overall noise level are th

design a 32:1 multiplexer using 16:1 multiplexer