Calculate the value after tax cost of debt

Assignment Help Finance Basics
Reference no: EM133223806

Question: XY LTD has bond outstanding with 7 years left before maturity .The bonds currently selling for k800 per k1000 face value bond .The interest is paid annually at a rate of 12% . The firm's tax rate is 40% . calculate the value after tax cost of debt??

Reference no: EM133223806

Questions Cloud

What is the significance of the miranda decision : When may a state deny the defendant the right to a jury trial? What is the significance of the Miranda decision
What amount do they need to set aside today : They are in the 20% marginal tax bracket. What amount do they need to set aside today for their daughter's wedding?
Quality assurance of the project : Provide an analysis of where the quality assurance of the project was a failure.
Identify affect the diffusion of innovation : Identify two factors that affect the diffusion of innovation and explain how each factor may have helped or hurt the diffusion of SoulCvcle.
Calculate the value after tax cost of debt : The interest is paid annually at a rate of 12% . The firm's tax rate is 40%. calculate the value after tax cost of debt??
Briefly describe the functions of police : Briefly describe the functions of police, courts and corrections. Focus should include peer reviewed sources and a discussion of the recent initiatives
What is team development : What is team development? Discuss the importance and how project manager can work on developing a team.
Identify and discuss any tax law or regulatory changes : Identify and discuss any tax law or regulatory changes that may affect the retirement plans, the participants, and sponsors. Make sure your sources are relevant
Introduction and background of the project : Research project topic related to transport challenges and/or opportunities in the maritime, logistics or supply chain field. Produce an outline of this project

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd