8. Z Ltd.s operating income is `5,00,000. The firms cost of debt is 10% and currently the...

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8. Z Ltd.’s operating income is `5,00,000. The firm’s cost of debt is 10% and currently the firm employs `15,00,000 of debt. The overall Cost of Capital of the firm is 15%.

You are required to calculate:

(i) Total value of the firm (ii) Cost of equity.

Assume NOI approach.

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Financial Management

ISBN: 9789352605606

1st Edition

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

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