User Account

All Pages

Cost of debt and equity

Assignment Help Business Management
Reference no: EM131272322

Cost of Debt and Equity

You are the Genesis Energy accountant and have taken a class recently in financing. You agree to prepare a PowerPoint presentation of approximately 6-8 minutes using the examples and information below:

Debt: Jones Industries borrows $600,000 for 10 years with an annual payment of $100,000. What is the expected interest rate (cost of debt)?

Internal common stock: Jones Industries has a beta of 1.39. The risk-free rate as measured by the rate on short-term US Treasury bill is 3 percent, and the expected return on the overall market is 12 percent. Determine the expected rate of return on Jones's stock (cost of equity). Here are the details:

Jones Total Assets

$2,000,000

Long- & short-term debt

$600,000

Common internal stock equity

$400,000

New common stock equity

$1,000,000

Total liabilities & equity

$2,000,000

Develop a 9-11 slide presentation in PowerPoint format. Perform your calculations in an Excel spreadsheet. Cut and paste the calculations into your presentation. Include speaker's notes to explain each point in detail. Apply APA standards to citation of sources.

Reference no: EM131272322

Questions Cloud

Role of knowledge management systems in business : 1. What is the role of knowledge management systems in business? 2. What types of systems are used for enterprise wide knowledge management and how do they provide value for businesses? ..
Develop a decision tree that will aid the owners : Develop a decision tree that will aid the owners in their leasing or purchasing decision.-  Fold back the tree and ?nd the expected value.
Explain how the value proposition canvas-consumer segments : We are assigned to perorm a startegic business plan using the Business Model Canvas. Also The Value Proposition Canvas that is derived from Business Model Canvas. Explain how the value proposition canvas, consumer segments, the business model canvas ..
Describe how these visions impact conception of america : Explain the potential problems that arise from the vision this author presents.Describe how these visions still impact our conception of America today.
Cost of debt and equity : You are the Genesis Energy accountant and have taken a class recently in financing. You agree to prepare a PowerPoint presentation of approximately 6-8 minutes using the examples and information below:
Which control chart should be used for the above data : Which control chart should be used for the above data and why?- Make the appropriate control chart on a graph paper.
Determining the level of success or failure for structure : dentify and describe how one of the basic organizational structures was either successful or unsuccessful at your present or former organization, or an organization you are familiar with. What were the key factors for determining the level of success..
Create a excel spreadsheet representing the change model : Create a Excel Spreadsheet representing the change model that you are implementing ( LPC Contigency Model) Theory by Feilder-make sure to create a comparative demonstrating showing the old model against your new change plan.
Environmental analysis of organisation from modernist : What are the major differences between conducting an environmental analysis of an organisation from a modernist perspective compared to a symbolic-interpretivist perspective?

Reviews

Write a Review

Business Management Questions & Answers

  Questionibm ceo sam palmisano adores to talk about the

questionibm ceo sam palmisano adores to talk about the evolution of global strategy at one of the worlds largest

  Sarah convinces rohan that leon is dead

Rohan, an eighty-three-year-old invalid, employs a nurse, Sarah, to care for him. Prior to Sarah's employment, Rohan executed a will leaving his entire estate to his only living relative-his great-grandson, Leon. Sarah convinces Rohan that Leo..

  Addresses pay for performance in healthcare

Physicians and facilities are paid for services rendered instead of the quality of the performance, known as pay for performance.

  Illustrate what are some of the factors normally anticipte

Monetary policy proved to be generally ineffective in addressing the Japanese recession of the 1990's. Illustrate what are some of the factors that explain why money policy didn't work as would normally be anticipated?

  Describing leadership philosophy

Compare and contrast the unique characteristics, influence techniques, reward/punishment use, task-behaviors, relationship behaviors, and both the reaction of others to the leaders and the leaders' productivity. Analyze which style of leadership c..

  Lawyer had provided ten hours of legal services

he oral agreement between Tom and Amy was binding on both Sub Corp. and Main Corp. Amy became dissatisfied with Lawyer's representation, discharged Lawyer and demanded the return of her $10,000 retainer. Lawyer refused on the ground that pursuant to ..

  Expected production of corn and hedge

Discuss this viewpoint. Should the farmer estimate his or her expected production of corn and hedge to try to lock in a price for expected production?

  How do these problems impact the organization

Identify two to five problems that face your chosen not-for-profit company and why do these problems exist? Present the background on these problems.

  Explain the roles of the various branches of government

Imagine that a founding father of your choice has been brought to the future and you have been given the opportunity to talk with him about our federalist representative form of government. He is interested in learning about the current state of o..

  Watch the movie lean on me

Explain and describe the "corporate" culture of the High School before and during Joe Clark's administration? Joe Clark establishes his authority right away and maintains his authority throughout the movie. Using the textbook, how would you describ..

  Employee relations - conflict resolution

From an Employee Relations Specialist perspective, what recommendations do you provide management - what strategies would you suggest for this situation?

  Information technology outsourcing business

Questions: Minicase: Can Brazil Become a Global Competitor in the Information Technology Outsourcing Business? 1. Use the theories of international trade and investment to help explain Brazil's intentions and actions regarding the international inf..

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