27. A company is considering a Capital Structure of `10,00,000 for which following options are available. Calculate

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27. A company is considering a Capital Structure of `10,00,000 for which following options are available. Calculate indifference level of EBIT in each case;

(a) Equity share capital of `10,00,000 or 10% debentures of `5,00,000 and the remaining amount from equity share capital.

(b) Equity share capital of `8,00,000 plus 10% debentures of `200,000 or equity share capital of `7,00,000 plus 12% preference share of `3,00,000.

(c) Equity share capital of `10,00,000 or equity share capital of `5,00,000 plus 10%

debenture of `2,50,000 plus 12% preference share of `2,50,000.

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Financial Management

ISBN: 9789352605606

1st Edition

Authors: Swapan Sarkar, Bappaditya Biswas, Samyabrata Das, Ashish Kumar Sana

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