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Cosmic press ltd is all equity financed to generate net operating cash flows of $600,000 per annum. The company tax rate 30%. Cosmic shareholders expect
Cosmic press ltd is all equity financed to generate net operating cash flows of $600,000 per annum. The company tax rate 30%. Cosmic shareholders expect a 15% rate of return ( after company tax). what is cosmic press ltd value? If the company borrowed 1 million at an interest rate of 10%. What is cosmics after tax operating cash flow? What is cosmics value according to MMs proposition 1 with company tax?
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