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Please solve all 5 parts! Please show math! Optimal Capital structure with Harada Beden Ehermo and Amates (OCAconsideran change in capital atro, DEN currently is
Please solve all 5 parts! Please show math!
Optimal Capital structure with Harada Beden Ehermo and Amates (OCAconsideran change in capital atro, DEN currently is $20 million in debt carrying a rate of 8%, and its stock price is 10 per share with its outstanding Bo growth in and out all of its camisas dividends. The firm's EBIT 513 milion, and it faces a 25% federalplus-state tax rate. The market is premium 4%, and the risk-free me 0% Bonsidering increasing its debt level to a capital structure with 50% debt, based on market values and purchasing shares with the extra money that we will have to tie the old debt in order to issue new debt, and the rate on the new debt will be 9 BEA has a bea of.. What Blivered bota? Use market value D/s (which is the same as w/wi) when unlew Do not found intermediate calculations, Round your answer to two decimal places What are A's new beta and cost of equity if it has so debt? Do not found intermediate calculations, Round your answers to two decimal places, Cont of equity What is BEA'S WACC with 50% debt? Do not found intermediate calculations. Round your answer to two decimal places What is the total value of the firm with 50 debt? Do not Found intermediate calculations. Enter your answer in millions. For example, an answer of $1.234 million should be entered a 1.234, no 1,234,000. Round your answer to three decimal places million Step by Step Solution
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