User Account

All Pages

Million common shares outstanding priced

Assignment Help Basic Statistics
Reference no: EM132107887

A company has 8 million common shares outstanding priced at $14.625 each

Next year's dividend on these shares is expected to be $2.71, and will grow at 5% per year forever

The company also has 60,000 bonds outstanding, each with a coupon rate of 12% and are priced at $1,050 each to yield 8% to bondholders

The corporate income tax rate is 34%.

Compute the WACC for the company.

Reference no: EM132107887

Questions Cloud

Research on the latest or emerging trends : MGT204 Logistics and Supply Chain Management - research on the latest or emerging trends in Logistics and Supply Chain management (LSCM) and report
What is the current price of aa co : It is expected that dividends will grow at 4% indefinitely. Assuming a discount rate of 12%, what is the current price of AA Co.?
What is the average monthly return : The past five months he returns for GIA company are 1.35%, -1.7%, 4.35%, 3.9%, and 2.1%. What is the average monthly return?
What is the return shareholders are expecting : The dividend is expected to grow at a 23.20 percent rate. At the current price of $8.16, what is the return shareholders are expecting?
Million common shares outstanding priced : A company has 8 million common shares outstanding priced at $14.625 each
What is the product margin : What is the product margin? Based on the product margin, when is it in the best interests of an organization to continue or drop a service?
Increase in the percentage of a company : What could be the reasons for an increase in the percentage of a company's total asset turnover aside from (a) increase in sales, and (b) decrease in asset?
What is the annual cash flow amount for years : It then pays $25 at the end of each year for years 21-30. Interest rates are 7 percent. What is the annual cash flow amount for years 11-20?
Explain repeated ethical scandals through the lens : PUB20002 - Public Relations Theory and Practice - Explain repeated ethical scandals through the lens of Public Relations Theory and Practice theories

Reviews

Write a Review

Basic Statistics Questions & Answers

  Confidence interval for the proportion of the population

Construct a 95% confidence interval for the proportion of the population that holds the same opinion.

  Stabilize the injured area

When a surgeon repairs injuries, sutures (stitched knots) are used to hold together and stabilize the injured area.

  Producing light due to a genetic mutation

An entomologist writes an article in a scientific journal, which claims that fewer than 7 in ten thousand male fireflies are unable to produce light due to a genetic mutation. Use the parameter p, the true proportion of fireflies unable to produce..

  Large sample confidence interval for population mean

A random sample of 56 fluorescent light bubs has a mean life of 645 hours with a standard deviation of 31 hours.

  Iq scores and normal distribution

A person must score in the upper 2% of the population on an IQ test to qualify for member ship in Mensa, the international high-IQ society. If IQ scores are normally distributes with a mean of 100 and a standard deviation of 15, what score must a ..

  Moments of the estimator of the mean

What are the true values of these moments of the estimator of the mean?

  Your score on a statistics tests is 63 and on your biology

your score on a statistics tests is 63 and on your biology test you made a 23. the mean in statistics was 60 with a

  State null-alternative hypotheses-average number of hours

State the null and alternative hypotheses to determine if the average number of hours until spoilage begins differs for the preservatives A and B?

  What proportion of player-s serves are between given range

The information that the distribution of the serve speeds was bell shaped. What proportion of the player's serves are expected to be between 107 mph and 118 mph?

  Order size and level of customer satisfaction

A clothing retailer wishes to investigate the relationship between order size (in dollars) and the level of satisfaction of the customer.

  A contractor is considering a sale that promises a profit

a contractor is considering a sale that promises a profit of 20000 with a probability of 0.7 or loss of 7000 with a

  Type of transmission as the categorization variables

a. Construct a simple tabulation in which the counts are according to the type of engine. b. Construct a cross-tabulation describing the fleet, using type of engine and type of transmission as the categorization variables. c. Construct a display sh..

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