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i dont know wheater the answer is correct. please advise me ve this response Question 12 Seoul Ltd's capital structure is as follows: estion 12
i dont know wheater the answer is correct. please advise me
ve this response Question 12 Seoul Ltd's capital structure is as follows: estion 12 of 12 - 4 points Debt Preference Shares Ordinary Share Capital The after-tax cost of debt is 6.5%: the cost of preference shares is 11 and the cost of ordinary share equity is 10%. As an alternative to the existing capital structure for Seoul, an outside consultant has suggested the folle Debt Preference Shares Ordinary Share Capital 3546 Under this new and more debt-oriented arrangement, the after-tax cost of debt is 7.5%: the cost of preference shares is 11 and the cost of equity is 15.6 a. Calculate Seoul's existing weighted average cost of capital (WACC). Your answer a. 8.92 . Case sensitive: Type in 12.00 for 12.00% b. Recalculate Seoul's weighted average cost of capital (WACC), using the capital structure suggested by the outside consultant. Your answer b. 10.86 9. Case sensitive: Type in 12.00 for 12.00%Step by Step Solution
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