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The following information relates to the Falcon Division of Xenon Enterprises: 8 04:52:22 Interest rate on debt capital Cost of equity capital Market value of
The following information relates to the Falcon Division of Xenon Enterprises: 8 04:52:22 Interest rate on debt capital Cost of equity capital Market value of debt capital Market value of equity capital Income tax rate 9% 13% $44 million $74 million 35% Print On the basis of this information, Falcon's weighted-average cost of capital is closest to: Multiple Choice 0 4.01% 0 9.54%. 9.54%. 0 10.33% 10.33%. 11.51% None of the answers is correct. 13 Endotrope Corporation has an after-tax operating income of $3,370,000 and a 7% weighted-average cost of capital. Assets total $7,170,000 and current liabilities total $1,970,000. On the basis of this information, Endotrope's economic value added is: 3 04:51:59 Multiple Choice Print $2,730,200. $3,006,000. $3,734,000. $4,009,800. None of the answers is correct
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