Question
Firm X is calculating its WACC and wants to determine its cost of debt. It has 15 year 12% annual coupon bond selling for $1152.12.
Firm X is calculating its WACC and wants to determine its cost of debt. It has 15 year 12% annual coupon bond selling for $1152.12. What is the after tax cost of debt used in calculation of WACC? (T= 40%)
Its preferred stock which has $10 dividend per share is currently selling for $90.91. What is rate of preferred stock (kp)?
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Healthcare Finance An Introduction To Accounting And Financial Management
Authors: Louis C. Gapenski
2nd Edition
1567931650, 978-1567931655
