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Solve the following cases independently of determining the cost of funds. 1. 2. 3. 4. 5. 10%, Bonds Payable Market price Flotation costs Tax
Solve the following cases independently of determining the cost of funds. 1. 2. 3. 4. 5. 10%, Bonds Payable Market price Flotation costs Tax rate Cost of debt 12%, Preferred Market value Flotation costs Shares Tax rate Cost of preference share Current dividend on ordinary share Growth rate Expected dividend Current dividend on ordinary share Return on equity Payout rate Expected dividend P10,000 120 P200 Current dividend on ordinary share Growth rate Market price per ordinary share Flotation costs Cast of ordinary share Cost of retained earnings 5% 40% ? P350 6% 40% ? 12% 10% ? P8 15% 30% ? P8 10% P55 6% ? ? using the Gordon Growth Model
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