User Account

All Pages

What is return on assets of business

Assignment Help Finance Basics
Reference no: EM132499372

Suppose CAPM holds, and the beta of the equity of your company is 2.33. The expected market risk premium (the difference between the expected market return and the risk-free rate) is 6.00% and the risk-free rate is 3.25%. Suppose the debt-to-equity ratio of your company is 35% and the market believes that the beta of your debt is 0.30. What is return on assets of your business? (Allow two decimals in the percentage but do not enter the % sign.)

Reference no: EM132499372

Questions Cloud

What impact plagiarism has on a students academic career : What impact plagiarism has on a student's academic career? How the view on plagiarism is the same or different in this course than others you have taken?
What is portfolio return in year 1 and year 2 : If your portfolio comprises 100 shares of Apple and 75 shares of Amazon, what is your portfolio return in year 1 and year 2? Assume no dividends are paid.
MIS171 Business Analytics Assignment : MIS171 Business Analytics Assignment help and solution, Deakin Business School - assessment writing service - Apply quantitative reasoning skills to analyse
Design program or workshop utilizing storied selves concept : For this paper, you will make use of Boske's article, "Preparing School Leaders to Interrupt Racism" to design a program or workshop utilizing.
What is return on assets of business : What is return on assets of your business? (Allow two decimals in the percentage but do not enter the % sign.)
Cost of common equity financing using gordon model : The investments banker will charge flotation costs $4.73 per share. Calculate the cost of common equity financing using Gordon Model.
What is the value of the interest rate tax shield : Suppose a project requires three annual interest payment of $20 million. If the tax rate is 35% and the cost of debt is 7%, what is the value of the interest
What is the return on levered equity : A firm requires an investment of $50,000 and will return $60,000 after 1 year. If the firm borrows $20,000 at 7%, what is the return on levered equity?
Weighted average cost of capital-black bird company : If the company is in the 34 percent tax bracket, what is the weighted average cost of capital?

Reviews

Write a Review

Finance Basics Questions & Answers

  What fraction of the payment made at the end

Your company is planning to borrow $1,250,000 on a 9-year, 15%, annual payment, fully amortized term loan. What fraction of the payment made at the end of the second year will represent repayment of principal? Round your answer to two decimal plac..

  Analyze how and why you made the decision to pursue a mba

Describe how and why you made the decision to pursue a MBA. Include in that explanation calculations of expenses and opportunity costs related to that decision.

  How much do you have to save each year

Happy birthday! You are 30 years old today. You want to retire at age 60. You want to have $1, 500.000 at retirement.

  Calculate the ratios

Using the ratios you select, gather the information you need to calculate the ratios from your selected company's 10-K or annual report. -  Calculate the ratios.

  Take place to transfer of capital

How many ways take place to Transfer of capital? Can you please Elaborate on this and the difference between each way or method.

  Agreement and consideration for a valid contract

"How to explain there was agreement and consideration for a valid contract?"

  Are stockholders and creditors likely to agree

Are stockholders and creditors likely to agree on how much cash a firm should keep on hand?

  Discuss the ability of central banks to manage

Further discuss the ability of central banks to manage domestic economic problems while maintaining a pegged exchange rate?

  Using the following company data show how a standard and

using the following company data show how a standard and contribution income statement will compare using the

  It has an estimated life of 10 years the irr has been

blake corporations new project calls for an investment of 10000. it has an estimated life of 10 years. the irr has been

  Ratio of long-term debt to long-term debt

Question: The X Company has a ratio of long-term debt to long-term debt plus equity of .41 and a current ratio of 1.3.

  What is the probability of bankruptcy

The firm has a single outstanding debt issue with a promised maturity payment of $120 in 5 years. What is the probability of bankruptcy? What is the credit spread?

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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