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will give good review thank you, I'm sorry that it was blurry a. What eltea asdid that une of leverege have on the vive of

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thank you, I'm sorry that it was blurry
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a. What eltea asdid that une of leverege have on the vive of the fim? II. Togesoung the Binandal leverage by adoieg sthe has ne wifect en the frmy valut. 1 per share That trin (is tiester is The Rivoli Company has no debt culstanding, and its financial position is given by the following data: The firm is considering selling bends and simutaneously repurchasing some of its stock, If it moves to a capital structure with 30% debt bssed on market values, its cost of equity, fy wit increace to 11% to reflect the increased fisk. Bonds can be sold ot a cost, ru, of 9\%. Rivoli is a no-growth firm. Hence, all its earmings are paid out as dividends. Earnings are expected to be constant over time. a. What effect would this use of leverage have on the value of the firm? 1. Inoreasing the financial leverage by adding debe results in a decrease in the firm's value. 11. increasing the financial leverage by adding debt has no effect on the firm's value. III. Increasing the financoll leverage by adding debt results in an increase in the firm's value. 5. What would be the price of Rivalis stock? Do not round intermediate calcu'abons, Round yeur antwer to the nesrest cent. .) perishise c. whiat figabens to the firm's earnings per share ofter the recapitalization? Do not round intermediate caltulationa. Hound your answer to the nearest cent. The fam its eps by 5 . The Rivoli Company has no debt culstanding, and its financial position is given by the following data: The firm is considering selling bends and simutaneously repurchasing some of its stock, If it moves to a capital structure with 30% debt bssed on market values, its cost of equity, fy wit increace to 11% to reflect the increased fisk. Bonds can be sold ot a cost, ru, of 9\%. Rivoli is a no-growth firm. Hence, all its earmings are paid out as dividends. Earnings are expected to be constant over time. a. What effect would this use of leverage have on the value of the firm? 1. Inoreasing the financial leverage by adding debe results in a decrease in the firm's value. 11. increasing the financial leverage by adding debt has no effect on the firm's value. III. Increasing the financoll leverage by adding debt results in an increase in the firm's value. 5. What would be the price of Rivalis stock? Do not round intermediate calcu'abons, Round yeur antwer to the nesrest cent. .) perishise c. whiat figabens to the firm's earnings per share ofter the recapitalization? Do not round intermediate caltulationa. Hound your answer to the nearest cent. The fam its eps by 5 . What is the peobabily of not covering the interest payment at she 30% debt fevelf po nek reund intermediate ca'culationa. Hound yeur anwer te tho decimal ploket. a. What eltea asdid that une of leverege have on the vive of the fim? II. Togesoung the Binandal leverage by adoieg sthe has ne wifect en the frmy valut. 1 per share That trin (is tiester is The Rivoli Company has no debt culstanding, and its financial position is given by the following data: The firm is considering selling bends and simutaneously repurchasing some of its stock, If it moves to a capital structure with 30% debt bssed on market values, its cost of equity, fy wit increace to 11% to reflect the increased fisk. Bonds can be sold ot a cost, ru, of 9\%. Rivoli is a no-growth firm. Hence, all its earmings are paid out as dividends. Earnings are expected to be constant over time. a. What effect would this use of leverage have on the value of the firm? 1. Inoreasing the financial leverage by adding debe results in a decrease in the firm's value. 11. increasing the financial leverage by adding debt has no effect on the firm's value. III. Increasing the financoll leverage by adding debt results in an increase in the firm's value. 5. What would be the price of Rivalis stock? Do not round intermediate calcu'abons, Round yeur antwer to the nesrest cent. .) perishise c. whiat figabens to the firm's earnings per share ofter the recapitalization? Do not round intermediate caltulationa. Hound your answer to the nearest cent. The fam its eps by 5 . The Rivoli Company has no debt culstanding, and its financial position is given by the following data: The firm is considering selling bends and simutaneously repurchasing some of its stock, If it moves to a capital structure with 30% debt bssed on market values, its cost of equity, fy wit increace to 11% to reflect the increased fisk. Bonds can be sold ot a cost, ru, of 9\%. Rivoli is a no-growth firm. Hence, all its earmings are paid out as dividends. Earnings are expected to be constant over time. a. What effect would this use of leverage have on the value of the firm? 1. Inoreasing the financial leverage by adding debe results in a decrease in the firm's value. 11. increasing the financial leverage by adding debt has no effect on the firm's value. III. Increasing the financoll leverage by adding debt results in an increase in the firm's value. 5. What would be the price of Rivalis stock? Do not round intermediate calcu'abons, Round yeur antwer to the nesrest cent. .) perishise c. whiat figabens to the firm's earnings per share ofter the recapitalization? Do not round intermediate caltulationa. Hound your answer to the nearest cent. The fam its eps by 5 . What is the peobabily of not covering the interest payment at she 30% debt fevelf po nek reund intermediate ca'culationa. Hound yeur anwer te tho decimal ploket

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