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Futamaki Inc has a Weighted Average Cost of Capital (WACC) of 6.3% and tax rate of 30%. What is the cost of equity if
Futamaki Inc has a Weighted Average Cost of Capital (WACC) of 6.3% and tax rate of 30%. What is the cost of equity if the after Tax Cost of Debt is 3.5% and the debt to equity ratio is .6? Brinkmanship Corp. wants to know what their cost of equity would be if the company Beta is 2.25, the market risk premium is 7% and Government T-bills are yielding 4.5% Sukdeev is looking for a mortgage. He goes to the bank and they tell him that the rate is 4% with quarterly payments. Since he took Managerial Finance he knows that this is the APR. What would be Sukdeev's EAR? Dhinny Corp is a manufacturer of BBQ's. Many people enjoy a good piece of meat and are willing to pay a premium for their products. Each BBQ sells for $425 and it only costs $190 to produce these products. This year the company sold 5,000 units, it had $190,000 CCA with a tax rate of 45%. Pastaja Inc is a company that produces fireworks. Your friend Bill is looking to purchas the company stock, and wants to know what the current share price is. The company is planning to pay a $5 dividend in eight years from now and will increase the dividend 4% per year thereafter. The required rate of return is 11%. What is the current share price?
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