What is nodebts wacc and asset beta

Assignment Help Financial Management
Reference no: EM131610186

Nodebt Inc. is a firm with all-equity financing. Its equity beta is .80. The Treasury bill rate is 2%, and the market risk premium is expected to be 8%.

a. What is Nodebt’s asset beta? (Round your answer to 2 decimal places.)

Asset beta  

b. What is Nodebt’s WACC? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

WACC % 

Reference no: EM131610186

Questions Cloud

Price of company stock or value of their shareholding : What is most important to investors: the number of a company’s shares they own, the price of the company’s stock, or value of their shareholdings in company?
Explain the function and operation of cisco switch : Explain the function and operation of Cisco switch and router operating systems and their specific licensing, management, and operational recovery procedures.
What was average weekly allowance of a fourth-grade student : In a recent year, the average allowance of a 9th-grade student was 9.66 dollars per week. What was the average weekly allowance of a 4th-grade student?
Firm after incorporating the impact of the operating leases : what would be the debt ratio of the firm after incorporating the impact of the operating leases?
What is nodebts wacc and asset beta : Nodebt Inc. is a firm with all-equity financing. Its equity beta is .80. What is Nodebt’s asset beta? What is Nodebt’s WACC?
Print rational numbers in floating-point format : Create a class called Rational for performing arithmetic with fractions. Write a program to test your class. Use integer variables to represent the private.
Traditional versus object-oriented design : Compare the object-oriented approach to design to the traditional approach. Provide an example of one (1) such project.
Operating leases reported in the lessees balance sheet : How are operating leases reported in the lessee’s balance sheet?
Equipment to manufacture instructions : What are the consequences of not installing equipment to manufacture's instructions?

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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