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need asap extra funds of 900,000 Thursday 17 Jure in the year 2016 PQR Company indexed on the options (share capital, debt securities ora mix
need asap
Thursday 17 Jure in the year 2016 PQR Company indexed on the options (share capital, debt securities ora mix of both). Delcin of optione available to the company are given in the following table Plan 1 Plan 2 Plan 3 Description Preference share capital 6% Equity Share capital (@$10) Debentures 5% 450.000 200.000 450,000 300,000 200,000 400,000 700,000 Total Money Required 900,000 900,000 900,000 Net Income for 2016 before interest is $500,000, tax rate applicable for 2016 is 30%. Required: Based on the above Information, which option company should go with? Exp why? N extra funds of 900,000
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