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ABC raises net amount of $141,712 to finance a 9-year project. The flotation cost is 4.4%. The cost of debt is 6.8% and corporate tax
ABC raises net amount of $141,712 to finance a 9-year project. The flotation cost is 4.4%. The cost of debt is 6.8% and corporate tax is 40%. Calculate the net present value of this debt financing (including the flotation costs and tax saving).
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Net amount raised 141712 Flotation costs 44 Cost of debt 68 Corporate tax rate 40 Project duration 9 ...
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
