What is candy land debt-to-equity ratio

Assignment Help Financial Management
Reference no: EM132023868

Candy Land Corp. has a WACC of 12.17%. The company’s equity beta is 1.3, and its semi-annual coupon bonds have a yield-to-maturity of 8.8% (APR, semi-annually compounded). The risk-free rate is 4%, the expected return on the market portfolio is 11.5%, and the tax rate is 35%. What is Candy Land’s debt-to-equity (D/E) ratio?

Reference no: EM132023868

Questions Cloud

What is the centerline of an s chart : What is the centerline of an S chart if the sum of the 25 sample standard deviations is 50?
What is the current value of the firm without debt : What is the current value of the firm without debt?
Interval for the population proportion : Construct a? 99% confidence interval for the population proportion. Interpret the results.
Mean amount of coffee to be? dispensed : You can allow the cup to overfill 1?% of the time. What amount should you set as the mean amount of coffee to be? dispensed?
What is candy land debt-to-equity ratio : Candy Land Corp. has a WACC of 12.17%. What is Candy Land’s debt-to-equity (D/E) ratio?
What height represents the 95th ?percentile : In a survey of women in a certain country? (ages 20minus?29), the mean height was 66.4 inches with a standard deviation of 2.68 inches.
Who faces unlimited liability on investment : Which of the following statements generally cannot be correct for an investor who faces unlimited liability on an investment?
Develop a product service idea : Describe the product/service including the benefits of using the product/service.Discuss the potential customers for this product/service.
Number of people that order vanilla dip donuts : Let XX be the number of people that order vanilla dip donuts with rainbow sprinkles in a week.

Reviews

Write a Review

Financial Management Questions & Answers

  What is the net interest income earned in dollars

Sun Bank USA has purchased a 8 million one-year Australian dollar loan that pays 15 percent interest annually The spot rate of U.S. dollars for Australian dollars is $0.6250/A$1. What is the net interest income earned in dollars on this one-year tran..

  Considering investing in new machine to produce dog biscuits

You have been hired as a financial consultant by BUBBA Corporation. BUBBA is considering investing in a new machine to produce dog biscuits.

  Portfolio expected return and standard deviation

You are combining a risky asset with an investment in risk-free U.S. Treasury bills with one year to maturity. The U.S. Treasury bills offer a 4 percent rate of return. The risky asset has an expected return of 8 percent and a standard deviation of 2..

  How heavily followed is the apple company by analysts

What is Apple Company’s beta (ß)? What is the required return ( r) going forward? How heavily followed is the Apple company by analysts?

  Is payday loan company being ethical in continuing to loan

Is the payday loan company being ethical in continuing to loan more and more to Fritz and Helga each week?- What could Fritz and Helga have done to avoid ultimate financial ruin?

  Think bitcoin is good candidate to be the digital currency

Do you think Bitcoin is a good candidate to be the digital currency of a country?

  What components of the organizational culture should change

Define and evaluate the problem with the current organizational cultures at AGC. What components of the organizational culture should change, and why? What impact do the leadership styles have on the present organizational cultures at AGC?

  Long position in stock

A long position in a stock is all of the following except:

  Find the distributions of revenue-costs and profit

Tanner Park is a small amusement park that provides a variety of rides and outdoor activities for children and teens.

  Financial manager preference for faster receipt of cash flow

Given a financial manager's preference for faster receipt of cash flows, a longer depreciable life is preferred to a shorter one.

  What are the equivalent annual costs of both models

What are the equivalent annual costs of both models? Which model is more cost effective?

  What are the financial tools that could be applied

What are the financial tools that could be applied by management to minimize the negative effect of the currency depreciation ?

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