Forum
»
I can answer any physics, math, finance questions you may have
- Results 1 to 4 of 4
-
Page 1 of 1
12-13-2016, 02:13 PM
-
#1
- 011235813213455
- Banned
-
- 011235813213455
- Banned
- Join Date: Dec 2016
- Posts: 4
- Rep Power: 0
-
-
I can answer any physics, math, finance questions you may have
Shoot me. I'll get to you at my earliest convenience.
12-13-2016, 02:16 PM
-
#2
Originally Posted By 011235813213455⏩
Ok. Here is an easy finance question. You should easily get this if you know your basicsShoot me. I'll get to you at my earliest convenience.
On April 23, 2010, the Kinburn Corporation (KC) issued a thirty-year annual pay bond with an 8% coupon interest rate and a $1,000 face value. The annual interest payments are made to the bondholder of record on each April 22. Today on April 23, 2015, the bond is selling for $1,255.67.
Beta βKC = 1.10 for KC’s shares. The required rate of return or YTM on twenty-year Government of Canada bonds is rRF = 5%, and the market risk premium is RPM = rM – rRF = 10%.
KC has a target debt/equity ratio of 0.60. The marginal corporate income tax rate for KC is 20%.
Find the following:
- Required rate of return
- Cost of internal equity capital
- Weighted average cost of capital
12-13-2016, 02:18 PM
-
#3
- CrazyLazyDude
- No, you're the puppet!
-
- CrazyLazyDude
- No, you're the puppet!
- Join Date: Mar 2014
- Location: Canada
- Posts: 4,300
- Rep Power: 54631
-
-
SnowyOwl...that you brah?
++ Positive crew ++
**FAITH in Humanity Restored Crew**
* One day at a time crew
"Be excellent to each other...and PARTY ON DUDES!"
- Abraham Lincoln
Bookmarks
-
- Digg
-
- del.icio.us
-
- StumbleUpon
-
-
Posting Permissions
- You may not post new threads
- You may not post replies
- You may not post attachments
- You may not edit your posts