Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Fich Cash flows CFO CFI CE2 CF3 CF4 CFS CF6 Firm B $45,000 -$11,200 -$10,000 $44,000 51.200 566,000 $2.500 Fir B capital structure consists of

image text in transcribed
Fich Cash flows CFO CFI CE2 CF3 CF4 CFS CF6 Firm B $45,000 -$11,200 -$10,000 $44,000 51.200 566,000 $2.500 Fir "B" capital structure consists of debts, common stocks, and preferred stocks. . The current common stock price is $44 The financial leverage ratio is 1.2 The weight of the preferred stocks is 15% The maturity of the bond contract is 18 years The dividend payout ratio is 3596 The price of the preferred stock is 532.75 The net profit margin ratio is 30% The tax rate is 30% The coupon rate which paid monthly is 12% The preferred dividend is $3.5 The current bonds price is $1.28 millions The weight of common stocks is 255 The next common dividend is $1.5 The the value of the bonds it issued is simillion The asset tumover ratio is 20% . Given the following information presented below and the cash flows in the table above, Compute: W WACC (6 marks) ./NPY. (2marks) IRR. (1 mark) . d/ Payback period (2 marks) Discounted payback period (2 marks) Profitability Index (PD) (2 marks) the toba ALTO ALTFF 10 Mac BTV Parap ra 2 IX 0 Q F Fich Cash flows CFO CFI CE2 CF3 CF4 CFS CF6 Firm B $45,000 -$11,200 -$10,000 $44,000 51.200 566,000 $2.500 Fir "B" capital structure consists of debts, common stocks, and preferred stocks. . The current common stock price is $44 The financial leverage ratio is 1.2 The weight of the preferred stocks is 15% The maturity of the bond contract is 18 years The dividend payout ratio is 3596 The price of the preferred stock is 532.75 The net profit margin ratio is 30% The tax rate is 30% The coupon rate which paid monthly is 12% The preferred dividend is $3.5 The current bonds price is $1.28 millions The weight of common stocks is 255 The next common dividend is $1.5 The the value of the bonds it issued is simillion The asset tumover ratio is 20% . Given the following information presented below and the cash flows in the table above, Compute: W WACC (6 marks) ./NPY. (2marks) IRR. (1 mark) . d/ Payback period (2 marks) Discounted payback period (2 marks) Profitability Index (PD) (2 marks) the toba ALTO ALTFF 10 Mac BTV Parap ra 2 IX 0 Q F

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Personal Finance An Integrated Planning Approach

Authors: Ralph R Frasca

8th edition

136063039, 978-0136063032

More Books

Students also viewed these Finance questions