Solution-Interpret the expected impact on the value

Interpret the expected impact on the value

Reference no: EM133056832

You work for ABC Berhad in the finance department. You own 300 shares in ABC Berhad, that are selling at RM20 per share on Bursa Malaysia. There are currently 20 million shares of ABC Berhad outstanding. You just found out ABCBerhad will publicly announce a new stock offering. The costs from the offering will be 10 percent of the new offering. The new offering will increase the numberof outstanding share by 40 percent. The new offering is needed to raise money because the firm will be announcing some positive NPV projects when itannounces the new offering. Once the public finds out about the new offering, interpret the expected impact on the value of your shareholdings?

Reference no: EM133056832

Questions Cloud

Evaluating a proposed expansion project : You are evaluating a proposed expansion project and you determine that the Discounted Cash Flow - Net Present Value (DCF-NPV) is -RM30,000.

Creating implementation plan outline : The purpose of this assignment is to become familiar with the EHR implementation process by creating an implementation plan outline.

Make investment in the proposed project apositive npv : You are evaluating a proposed expansion project and you determine that the Discounted Cash Flow - Net Present Value (DCF-NPV) is -RM30,000.

Strategic it planning and strategy : During this session, we looked at several topics on Strategic IT planning and strategy. We examined researchers, models, and issues in the area.

Interpret the expected impact on the value : You work for ABC Berhad in the finance department. You own 300 shares in ABC Berhad, that are selling at RM20 per share on Bursa Malaysia.

Prepare the unadjusted trial balance : Total service fees billed to clients, on account, amounted to P400,000. Prepare the unadjusted trial balance. Complete worksheet up to adjusted trial balance

Compute the payments due in the first year : Compute the payments due in the first year on a three-year amortizing swap from company B to company A. Company A and company B both want to borrow £1,000,000 f

Company daily transactions : Transactional systems are databases that record a company's daily transactions.

Step-by-step process for implementing ehr : What is the step-by-step process for implementing an EHR? What are the most typical challenges faced by health care systems when implementing EHRs?

User Account

All Pages

Interpret the expected impact on the value

Reference no: EM133056832

Reference no: EM133056832

Questions Cloud

Reviews

Write a Review

Finance Basics Questions & Answers

Financial reporting and analysis

A report on financial accounting

Describe the types of financial ratios

Differences between sole proprietorship and corporation

Prepare a cash budget statement

What are the implied interest rates

State pricing theory and no-arbitrage pricing theory

Small business administration

Effect of financial leverage

Evaluate the basis for the payment to the lender

Importance of opps, ipps, mpfs and dmepos

Time value of money

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT