Question
ABC borrows a 6-year loan of $225,596 to finance a project. The interest rate charged by the bank is 1.9% lower than its cost of
ABC borrows a 6-year loan of $225,596 to finance a project. The interest rate charged by the bank is 1.9% lower than its cost of debt. ABC's after-tax cost of debt of 3.8%. The corporate tax rate is 37%. What is the net present value of this financing?
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Petromania Black Gold Paper Barrels And Oil Price Bubbles
Authors: Daniel O'Sullivan
1st Edition
1906659249,190665977X
