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!
Goodshape Company has currently, an ordinary share capital of Rs. 2.5 million, consisting of 25,000 shares of Rs. 100 each. The management is planning to raise another Rs. 2 million to finance major program of expansion through one of the four possible financing plans. The plans are:
i. Entirely through ordinary shares.
ii. Rs. 1 million through ordinary shares and Rs. 1 million through long-term borrowing at 8 percent interest per annum.
iii. Rs. 0.5 million through ordinary shares and Rs. 1.5 million through long-term borrowing at 9% interest per annum.
iv. Rs. 1 million through ordinary shares and Rs. 1 million through preference shares with 5 percent dividend.
The company's expected Earnings Before Interest and Taxes (EBIT) will be Rs. 0.8 million.
Required:
Consider a corporate tax rate of 50%, determine the earnings per share (EPS) in each alternative and comment on the implications of financial leverage.
Mutual Fund Services: Financial Mutual Funds launch schemes to cater to the need of the different categories of investors. They provide special services in addition to the retu
Explain the organization and function of commodities exchange
Profit Maximisation Decision Criterion According to this approach, actions which increase profits must be undertaken and those that decrease profits are to be avoided. In speci
Explain the factors affecting the choice of a minimum cash balance amount. The minimum cash balance amount is defined by how easy it is to raise funds when required, how expected
The Nu-Nu Brothers Inc. (NNBI) has the following capital structure, which it considers to be optional: Debt 25% Preferred Stock 15% Common Equity 60% NNBI''s expected net income t
WHAT IF BALANCE DOES NOT EXIT
To obtain an investment credit rating and make the transaction attractive to the investors, some type of credit enhancement procedure is usually necessary. In ord
Q. Merits of accept-reject criteria? Merits of ARR:- (i) Simple: - ARR method is very simple to understand and use. (ii) Complete life time of the project is considered:
Let us consider three scenarios of changes in stock prices and look into the risk return profile of the convertible security. Let us assume that the stock prices
Question 1: i) Discuss the benefits of international diversification and the issue of home country's bias in equity and bonds markets? ii) Explain carefully the currency he
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: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd