User Account

All Pages

What is the iniesta corporation weighed average

Assignment Help Business Management
Reference no: EM131930101

Iniesta Corporation's target capital structure is 40 percent debt, 50 percent common stock, and 10 percent preferred stock. Information regarding the company's cost of capital can be summarized as follows:

  • Company sold a non-callable bond several years ago that now has 20 years to maturity. This bond has a 9.25% annual coupon, paid semiannually, sells at a price of $1,075, and has a par value of $1,000.
  • The company's preferred stock currently sells for $87.88 per share, and it pays an $8.00 annual dividend.
  • The company is expected to pay $1.45 dividend per share at the end of this year. Financial analysts believe that the company is expected to grow at a constant rea of 6.50 percent in future years. The stock of the company is currently sells for $22.50
  • The company's tax rate is 40%
  • What is the Iniesta Corporation's weighed average cost of capital (WACC)?

Reference no: EM131930101

Questions Cloud

Compare and contrast the united states and sweden : Compare and Contrast the United States and Sweden (health benefits, insurance, maternity/parental leave, taxes, paid time off, vacation time).
Design an algorithm to find the maximum of n numbers : Design an algorithm to find the maximum of n numbers in O[log n) time on an EREW-PRAM model. Assume that initially location holds one input value.
Acts of terrorism and it failures are examples of : In managing the decision-making process, one of the first issues to address is whether to actually address the decision situation.
Particularly important in the internet age : Why is good customer service particularly important in the Internet age?
What is the iniesta corporation weighed average : What is the Iniesta Corporation's weighed average cost of capital (WACC)?
Which pram variant can best model simd madaines and how : Which PRAM variant can best model SIMD madaines and how? Repeat the question in part {a} for shared memory Ml MD machines.
Explain several values you think might be basis of conflict : Identily and explain several values you think might be the basis of conflict or misunderstanding between leaders and followers.
Success of an organization now : Why is mobile computing critical to the success of an organization now? Provide specific examples to support your answer.
Frank recognizes gain in what amount : Client owns 100% of the stock of Widget Inc. He transfers a manufacturing plant worth $100,000 with a basis of $50,000 to Widget Inc. in exchange

Reviews

Write a Review

Business Management Questions & Answers

  Availability of investment

The availability of investment capital is critical for a market economy to grow. Explain how this investment capital is transformed into fixed capital goods, new technology, and cost reduction using new methods of production. Also, explain how int..

  Monetary policies in the united states

What were some monetary policies in the United States during the 1950's ? What impact did they have during that decade?

  Discuss a specific work of art

Based on what you have learned in the course so far, discuss a specific work of art or a historical event with regard to its relationship to wellness.

  Utilize either external or internal recruiting processes

Utilize either external or internal recruiting processes

  Prepare a simple research proposal

Prepare a simple research proposal related to your area outlining the main stages Selecting a topic (about, how the transportation or delivery business is the most beneficial of today business sector, and that's all because of advanced technology ..

  Understanding work and learning in canada

Write a short essay of 750-1000 words in response to the following question: "Why is consideration of the social and economic context necessary for understanding work and learning in Canada?"

  Explain desired skills and how they relate to the classroom

Explain the desired skills and how they relate to the classroom and home

  Why business is expanding internationally

Provide a brief description of the business that you are writing about. You need to explain why the business is expanding internationally.

  Interrelationships among the jobs

Job analysis will be useful in classifying the jobs and the interrelationships among the jobs. On the basis of information obtained through job analysis, sound decisions regarding hierarchical positions and functional differentiation can be taken ..

  Problem regarding the commissary warehouse

Based on your experience, reading, and our discussion of Contract Types, what type(s) of contract could or should be applicable to the six situations below: 1. The roof has blown off the Commissary Warehouse and $3,000,000 in merchandise could be a..

  Conflict in values

how to deal with ethical issues that invariably come up in the course of the IT professional's work.

  What is the real interest rate

In 1999, the Canadian economy was at full employment. Real GDP was $886 Billion, the nominal interest rate was around 6 percent per year, the inflation rate was 2 percent a year, the price level was 110, and the velocity of circulation was constan..

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