Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Part1: Capital Structure & WACC Capital Structure Value As % Market Cap 972,268.902 ST Debt 16,240.000 LT Debt 91,807.000 Pref. Equity 0.000 Total Cost of
Part1: Capital Structure & WACC | ||
Capital Structure | Value | As % |
Market Cap | 972,268.902 | |
ST Debt | 16,240.000 | |
LT Debt | 91,807.000 | |
Pref. Equity | 0.000 | |
Total | ||
Cost of Equity | ||
Expected Market Return | 8.800% | |
Risk Free Rate | 0.716% | |
Beta | 1.037 | |
Country (Market) Risk Premium | ||
Equity Risk Premium | ||
Cost of Equity | ||
Cost of Debt | ||
ST Debt | 16,240.000 | |
LT Debt | 91,807.000 | |
Total Debt | ||
ST Debt to Total Debt | ||
LT Debt to Total Debt | ||
Effective Tax Rate | 15.944% | |
1 - Effective Tax Rate | ||
Note Rate | 0.140% | |
Risk Free Rate | 0.716% | |
Debt Adjustment Factor | 1.100 | |
Total Pre-Tax Cost of ST Debt | ||
Total Pre-Tax Cost of LT Debt | ||
Total Pre-Tax Cost of Debt | ||
Cost of Debt | ||
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started