Should the wacc be as adjust wacc up or adjust wacc down

Assignment Help Finance Basics
Reference no: EM13334081

If a project you are evaluating is more risky than average for your company, should you use WACC as your discount rate, adjust WACC up, or adjust WACC down?

Reference no: EM13334081

Questions Cloud

Find what is the percentage change in the bonds price : A(n) seven-year bond has a yield of 8% and a duration of 7.199 years. If the bond's yield changes by 25 basis points, what is the percentage change in the bond's price
New kind of safety air-brake for elevators : What about the scheme itself: is it a good idea? Should you buy stock in this company?
Find how much of the earnings will be interest on interest : You deposit $2,200 in your bank account. If the bank pays 4% simple interest, how much will you accumulate in your account after 10 years What if the bank pays compound interest (annually)
Assume the hatch is at the nominal diving depth : During a bad weather day with an atmospheric pressure of 0.9 atm a submarine dives at a depth of 9.3 m.
Should the wacc be as adjust wacc up or adjust wacc down : If a project you are evaluating is more risky than average for your company, should you use WACC as your discount rate, adjust WACC up, or adjust WACC down
Explain h-nmr of the compound showed only two peaks : Thomas Jefferson Snodgrass found an unlabelled reagent bottle in his -80 C freezer. The Bottle contained a liquid. He found that the compound( compound 1) quickly evaporated when warmed to room temperature. H-NMR of the compound showed only two pe..
Find the resultant force acting on the object : A 7.00-kg object undergoes an acceleration given by a with arrow = (3.00 i hat + 7.00 j hat) m/s2.
How are rational exponents related to radicals : What is a rational exponent? How are rational exponents related to radicals? Give an example of how an expression with a rational exponent can be rewritten as a radical expression, and simplify the expression, if possible.
Explain a fragment seen in a mass spectrum : A.) An MH ion seen in a mass spectrum with composition C10H8N3S+ B.) A fragment seen in a mass spectrum with composition C3H60+ C.) C10SiH15Br2FNPO3

Reviews

Write a Review

Finance Basics Questions & Answers

  How large will the last deposit be

How large will the last deposit be? Round your answer to the nearest cent.

  What is american eagle outfitters dividend yield

American Eagles Outfitters (ticker: AEO) recently paid a quarterly dividend of $0.125. It's current share price is $12.73. What is American Eagle Outfitters' dividend yield rounded up to the nearest percent?

  What is the minimal amount you should bid per park

Your required return is 15 percent and your tax rate is 34 percent. What is the minimal amount you should bid per park? (round to nearest $100)

  How much will you be willing to lend to your brother

Your brother has asked you for a loan and has promised to pay back $7,750 at the end of three years. If you normally invest to earn 6 percent per year, how much will you be willing to lend to your brother?

  Describe the three types of project risk

Describe the three (3) types of project risk. Under what situation in each of the types most relevant to the capital budgeting decision.

  International financial reporting standards for publicly

Discuss how influential you believe the IASB is over FASB. Discuss whether or not you support the U.S. adopting International Financial Reporting Standards for publicly traded companies.

  Set up for systematic savings plan

Wong, currently thirty-five, plans to stop work at the age of 65. His current salary is $750,000 per annum that is expected to increase by 3 percent yearly.

  Determine the total value of the stock

Pete Moran purchased a Dell Laptop Computer priced at $699. He put down 30 percent. Determine the amount of down payment;

  What is the company inventory turnover ratio

What is the firm's investment in accounts receivable? c. What is the company's inventory turnover ratio? d. Identify three ways in which the company could reduce its cash conversion cycle? What are the possible risks of reducing it?

  Calculate the risk premiums for each factor

Assume stock returns can be explained by a 2 factor model. The firm-specific risks for all stocks are independent. The following table shows the data for two diversified portfolios:

  Differentiate direct and indirect methods of intervention

Differentiate between direct and indirect methods of intervention. Address the tools used by governments to impact exchange rates and how political factors impact these decisions.

  What makes for a good investment?

1.What makes for a good investment? Use the approximate yield formula or a financial calculator to rank the following investments according to their expected returns.

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