Find and calculate the wacc

Assignment Help Financial Accounting
Reference no: EM132512211

Vision oil and Gas Company has 10 million shares each with a value of $4.20, whose cost is 7.5%. It has $30 million of 5% bonds with a market value of 101.00 and an after-tax cost of 3.5%. It has a bank loan of $5 million whose after-tax cost is 3.2%. It also has 2 million 8% preference shares of $1 whose market price is $1.33 per share and whose cost is 6%.

Question 1: Calculate the WACC

Reference no: EM132512211

Questions Cloud

Discuss the three costing methods of job order costing : Discuss the three costing methods of job order costing, process costing, and activity-based costing. Define the three costing methods.
Give necessary journal entries for the disposal of machinery : Give the necessary journal entries for the disposal of the machinery and the acquisition of the motor vehicle on 1 July 2019.
How can fiscal and monetary policy be used : Suppose that the U.S. enters another major recession like that of the Great Recession of 2008. How can fiscal and monetary policy be used during this type of re
Question - Production Possibility Frontier : Question 1 - Production Possibility Frontier (PPF). Supposing Nepal is operating at level T, what is the opportunity cost of producing 10,000 more tons of rice
Find and calculate the wacc : Find and Calculate the WACC. Vision oil and Gas Company has 10 million shares each with a value of $4.20, whose cost is 7.5%
Create exceptional customer experience : Distinguish operational practices that will create an exceptional customer experience.
How can fiscal and monetary policy : How can fiscal and monetary policy be used to smooth the business cycle.
Find discrepancy could have been caused by : A trial balance prepared at year-end shows total credits exceed total debits by $765. This discrepancy could have been caused by
Calculate the remaining useful life of the machine : Calculate the (i) Remaining useful life of the machine, (ii) Annual depreciation of the machine, (iii) Purchase price of the machine

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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!

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