Question
XYZ Corporation is financed by 30% equity and 70% by
debt. The company has an after-tax cost of debt of 9% and the beta of shares in XYZ is 2. The risk-free rate of return is 3% and the equity risk premium is 8%. What is the after-tax weighted average cost of capital of XYZ company?Solution
Cost of equity = 3% + 2 x 8% = 19% WACC = (30% x 19%) + (70% x 9%) = 12%
What is the code for âspecificâ in the given code language?
Find the code word for âveteran particular wordsâ?
If all the alphabets of the word âDEDICATIONâ are interchanged i.e. first and last, second and second last and so on, then which alphabet second to ...
Which of the following may be the code for ‘navy bottom’?
Which of the following may be the code for âhope liveâ ?
In a certain code language, 'sunshine rose flower lotus' is coded as '2, 1, 8, 6', 'lotus flower marigold' is coded as '2, 1, 4â and 'jasmine sunshin...
If 'MEANT' is coded as '34', 'TAKER' is coded as '49', then what is the code for âSWEARâ in the same code language?
In a certain code language, 'extra soft cream gentle' is coded as '1 4 9 7', 'specially formulated soft' is coded as '0 6 1' and 'gentle dry formulated'...
Which of following is coded as 'Eight, Six', in the given code language?
In a language âredâ is called âgreenâ, âgreenâ is called âyellowâ, âyellowâ is called âwhiteâ and âwhiteâ is called âblack...
