Calculate Combined Leverage from the following ? Contribution = 100,000 Fixed Cost = 25,000 Interest = 10,000

a.

1.53

b.

4

c.

0.25

d.

None of these

Calculate the cost of equity share capital from the following information by using appropriate method?

1. Earnings available to the shareholders - 80,000 OMR

2. no. of shares outstanding - 20,000

3. Market price of shares - 25 OMR

a.

20%

b.

4%

c.

16%

d.

13%

Laxmi LLC issues 12% irredeemable preference shares of OMR 100 each for OMR 1,000,000. what will be the cost of preference share capital, if the preference shares are issued at a premium of 20 OMR ?

a.

12%

b.

14%

c.

10%

d.

None of these

Calculate the cost of equity of Media LLC., whose risk-free rate of return equal 8%. The firms beta equals 1.25 and the return on the market portfolio equals to 10%.

a.

None of these

b.

13%

c.

10.5

d.

12%

If the Dividend is 5 OMR Market price is 50 OMR, calculate the cost of Equity

a.

5%

b.

None of these

c.

20%

d.

10%