Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Ink Inc. has decided that the capital it is raising will consist of 10% preferred stock, 50% common stock, and 40% debt. Ink has outstanding 20 year annual, 6% coupon bonds selling for $894. The par value of the bonds is $1,000. Ink’s common stock sells for $50 per share and is expected to grow at 8% and expected to pay a $2 dividend next year. If Ink sells new common it must pay a $5 per share flotation fee. Ink’s preferred stock currently sells for $54, and its annual dividend is $5 per share. If Ink were to sell new preferred stock, it would pay $4 per share as flotation cost. Ink’s tax rate is 40%.
What is Ink’s?
1. After tax cost of debt capital?
2. Cost of preferred stock capital?
3. Cost common stock?
4. Cost of capital?
am stat news december 2004 lists median salaries for associate professors of statistics at research institutions and at
The current price per share is $46.00 and it is in the 40% corporate tax bracket. What will the value of operations be after the recapitalization?
discuss some of the factors that a finance manager considers in choosing an appropriate discount rate for a capital
Homer is considering a project with cash inflows of $950 a year for Years 1 to 4, respectively. The project has a required discount rate of 11 percent and an initial cost of $2,100. What is the discounted payback period?
Air Filter, Inc., sells its products for $6 per unit. It has the following expenses, Separate the expenses between fixed and variable expenses per unit. Using this information and the sales price per unit of $6, compute the break-even point.
create an ios chart with the following investment alternatives alternative a has an irr of 8 and will add 10 million to
what are the disadvantages of a private placement sale compared with a public
1. accounts receivable amounted to 215000 at the beginning of the year and 245000 at the end of theyear. income
To estimate the increase in working capital, analysts estimate the ratio of cash and cash-equivalents to revenue to be 0.03 and the ratios of receivables, inventories, and payables to revenue to be 0.05, 0.10, and 0.04, respectively, in the same i..
Modern Artifacts can produce keepsakes that will be sold for $50 each. Nondepreciation fixed costs are $2,900 per year, and variable costs are $30 per unit. The initial investment of $3,000 will be depreciated straight-line over its useful life of ..
What interest rate is the bank required by law to report to potential borrowers? (Use 365 days a year. Do not round intermediate calculations and round your final answer to 2 decimal places.
Arrange the accounts into a well-labeled income statement. Make sure you label and solve for gross profit, operating profit, and net profit before taxes. Using a 35% tax rate, calculate taxes paid and net profit after taxes. Assuming a dividend of $1..
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd