Question
The following table presents information for Golden Fleece Financial Long-Term Debt Outstanding $310,000 Current Yield to Maturity on Debt 8.50% Number of Shares of Common
The following table presents information for Golden Fleece Financial
Long-Term Debt Outstanding $310,000
Current Yield to Maturity on Debt 8.50%
Number of Shares of Common Stock 10,500
Price Per Share $ 51
Book Value Per Share $ 26
Expected Rate of Return on Stock 16.00 %
Calculate the company cost of capital. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)
Cost of Capital _____%
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Auditing Cases An Active Learning Approach
Authors: Mark S. Beasley, Frank A. Buckless, Steven M. Glover, Douglas F. Prawitt
2nd Edition
0130674842, 978-0130674845
