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Author Question: The proportions of the market value of the firm's assets financed via debt, common stock, and ... (Read 95 times)

bobbysung

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Question 1

The pre-tax cost of debt is 11%, preferred stock costs 14%, and equity costs 15%. What is the weighted average cost of capital assuming a tax rate of 40% and a target capital structure of 40% debt, 20% preferred stock, and 40% equity?
◦ 10.6%
◦ 11.2%
◦ 14.0%
◦ 11.4%
◦ 12.8%

Question 2

The proportions of the market value of the firm's assets financed via debt, common stock, and preferred stock are called the firm's
◦ financing costs.
◦ portfolio weights.
◦ beta coefficients.
◦ capital structure weights.
◦ costs of capital.


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Marked as best answer by bobbysung on Apr 25, 2021

karmakat49

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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bobbysung

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Reply 2 on: Apr 25, 2021
YES! Correct, THANKS for helping me on my review


sultansheikh

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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