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Q4 XYZ Ltd. has the following capital structure: Sources of Fund Equity Capital (400000 shares at INR 10) Ami (Rs.) 4000000 8% preference shares
Q4 XYZ Ltd. has the following capital structure: Sources of Fund Equity Capital (400000 shares at INR 10) Ami (Rs.) 4000000 8% preference shares 10% Debentures Total 2000000 4000000 10000000 Market price of equity is Rs. 20 and dividend to be paid by the company is Rs. 5 per share. Expected growth rate is 8%. Tax rate is 50%. Calculate the weighted average cost of capital (WACC) 10
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The image you sent is a capital structure problem about XYZ Ltd The company has the following capital structure Equity capital Rs 4000000 400000 shares at Rs 10 8 preference shares Rs 2000000 10 deben...Get Instant Access to Expert-Tailored Solutions
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