Hlthy Foods hs trgt cpitl structur of 55 prcnt common stock, 5 prcnt prfrrd stock, nd 40 prcnt dbt Its cost of quity is 14 3 prcnt, th cost of prfrrd stock is 8 9 prcnt, nd th pr tx cost of dbt is 8 1 prcnt Wht is th compny's WACC if th pplicbl tx rt is 34 prcnt Stock in ABC Entrpriss hs bt of 1 06 Th mrkt risk prmium is 6 8 prcnt, nd T bills r currntly yilding 3 2 prcnt ABC's most rcnt dividnd ws $1 56 pr shr, nd dividnds r xpctd to grow t 4 prcnt nnul rt indfinitly If th stock slls for $43 shr, wht is your bst stimt of ABC's cost of quity Bvrly's is rtil chin slling th ltst fshions through its outlts loctd in vrious nighborhood mlls Clothing Glor is wholslr tht buys from txtil mills nd slls to rtil outlts Bvrly's hs cost of cpitl of 13 6 prcnt, whil Clothing Glor's cost of cpitl is 17 8 prcnt Both firms r considring opning rtil outlt in gigntic nw mll Both proposls r quit similr in dsign nd hv bsiclly th following finncil fturs n initil csh outly of $2 7 million, projctd 5 yr lif with no slvg vlu, nd csh inflows of $845,000 yr for th lif of th projct Which firm or firms, if ithr, should opn rtil outlt in th nw mll A Bvrly's only B Clothing Glor only C Both Bvrly's nd Clothing Glor D Nithr Bvrly's nor Clothing Glor E Th nswr cnnot b dtrmind bsd on th informtion providd Alph Industris is considring projct with n initil cost of $7 4 million Th projct will produc csh inflows of $1 54 million yr for 7 yrs Th firm uss th subjctiv pproch to ssign discount rts to projcts For this projct, th subjctiv djustmnt is 1 5 prcnt Th firm hs pr tx cost of dbt of 8 6 prcnt nd cost of quity of 13 7 prcnt Th dbt quity rtio is 0 65 nd th tx rt is 35 prcnt Wht is th nt prsnt vlu of th projct $372,951 B $187,016 C $48,209 D $133,333 E $269,480 Dlls Intriors hs cost of quity of 18 6 prcnt nd pr tx cost of dbt of 9 7 prcnt Th firm's trgt wightd vrg cost of cpitl is 10 8 prcnt nd its tx rt is 35 prcnt Wht is th firm's trgt dbt quity rtio

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Hlthy Foods hs trgt cpitl structur of 55 prcnt common stock, 5 prcnt prfrrd stock, nd 40 prcnt dbt. Its cost of quity is 14.3

Hlthy Foods hs trgt cpitl structur of 55 prcnt common stock, 5 prcnt prfrrd stock, nd 40 prcnt dbt. Its cost of quity is 14.3 prcnt, th cost of prfrrd stock is 8.9 prcnt, nd th pr-tx cost of dbt is 8.1 prcnt. Wht is th compny's WACC if th pplicbl tx rt is 34 prcnt?

Stock in ABC Entrpriss hs bt of 1.06. Th mrkt risk prmium is 6.8 prcnt, nd T-bills r currntly yilding 3.2 prcnt. ABC's most rcnt dividnd ws $1.56 pr shr, nd dividnds r xpctd to grow t 4 prcnt nnul rt indfinitly. If th stock slls for $43 shr, wht is your bst stimt of ABC's cost of quity?
Bvrly's is rtil chin slling th ltst fshions through its outlts loctd in vrious nighborhood mlls. Clothing Glor is wholslr tht buys from txtil mills nd slls to rtil outlts. Bvrly's hs cost of cpitl of 13.6 prcnt, whil Clothing Glor's cost of cpitl is 17.8 prcnt. Both firms r considring opning rtil outlt in gigntic nw mll. Both proposls r quit similr in dsign nd hv bsiclly th following finncil fturs: n initil csh outly of $2.7 million, projctd 5-yr lif with no slvg vlu, nd csh inflows of $845,000 yr for th lif of th projct. Which firm or firms, if ithr, should opn rtil outlt in th nw mll?
A. Bvrly's only B. Clothing Glor only C. Both Bvrly's nd Clothing Glor D. Nithr Bvrly's nor Clothing Glor E. Th nswr cnnot b dtrmind bsd on th informtion providd.
Alph Industris is considring projct with n initil cost of $7.4 million. Th projct will produc csh inflows of $1.54 million yr for 7 yrs. Th firm uss th subjctiv pproch to ssign discount rts to projcts. For this projct, th subjctiv djustmnt is +1.5 prcnt. Th firm hs pr-tx cost of dbt of 8.6 prcnt nd cost of quity of 13.7 prcnt. Th dbt-quity rtio is .0.65 nd th tx rt is 35 prcnt. Wht is th nt prsnt vlu of th projct?
1. -$372,951 B. -$187,016 C. $48,209 D. $133,333 E. $269,480

Dlls Intriors hs cost of quity of 18.6 prcnt nd pr-tx cost of dbt of 9.7 prcnt. Th firm's trgt wightd vrg cost of cpitl is 10.8 prcnt nd its tx rt is 35 prcnt. Wht is th firm's trgt dbt-quity rtio?