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6) Aminata & Sons hurdle rate is 11.5%. Aminata is considering three projects with varying weighted average cost of capital (WACC). Project As WACC is

6) Aminata & Sons hurdle rate is 11.5%. Aminata is considering three projects with varying weighted average cost of capital (WACC). Project As WACC is 9.8%. Project Bs WACC is 11.7% while Project Cs WACC is 10%. Which two of these three projects will NOT get funded?

7) What is the characterization of emerging markets? 8) The capital structure of Jeety Corp is Debt 35%, Preferred stock is 15% & Common stock is 50%. The after tax cost of debt is 8%, for prefer stock it is 3% and that of common stock is 15%. Calculate the weighted average cost of capital for Jeety Corporation. The formula is WACC =WdKd + WpsKps + WcsKcs (Show your math calculation)

9) Calculate the expected return on Connex stock if the beta (B) is 1.25, the risk free rate (Rf) is 3% and the market return (Rm) is 8%? Formula: Er = Rf + B(Rm Rf) 10) A German national, Federich Hans, has opened a $10.5 million dollar Mercedes Benz auto dealership in Monrovia to service the entire Mano River Union area.

A) Hans is considered a genuine domestic investor. True False

B) List at least four issues that Hans considered prior to making his final investment decision.

C) Hans did not raise the $10.5 million dollars for his investment in the Liberian capital market. Why not?

D)Hans is worried about the success of his company given that his West African customers do not speak the German language. Hans worries are justified. True False

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