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Author Question: If the target market proportion is reduced to 15 percent, what will be the revised weighted average ... (Read 21 times)

tingc95

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on: Jul 11, 2018
If the target market proportion is reduced to 15 percent, what will be the revised weighted average cost of capital? (See Table 9.1 )
 
  A) 13.6 percent
  B) 11.0 percent
  C) 12.34 percent
  D) 10.4 percent

Question 2

The value of a bond that pays semiannual interest is greater than that on an otherwise equivalent annual coupon interest paying bond.
 
  Indicate whether the statement is true or false


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billybob123

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Reply #1 on: Jul 11, 2018
Answer to Question 1

C

Answer to Question 2

TRUE


tingc95

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Reply #2 on: Jul 11, 2018
Thank you :)


billybob123

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Reply #3 on: Jul 11, 2018
Happy to help you


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