Question
You are asked to calculate the cost of capital of AAPL applying the Bloomberg approach based on the below information. AAPL's key items (4Q
You are asked to calculate the cost of capital of AAPL applying the Bloomberg approach based on the below information. AAPL's key items (4Q 2020) (US $ MM) Market Value 192,269 Short term debt 6,692 Long term debt 37,879 Preferred equity 0 Effective Tax Rate 24% Debt Adjustment 1.33 Raw Beta 0.815 0.87% 6.70% 7.64% Risk Free Rate Expected Market Return Country Risk Premium 1. The cost of debt is 2. The cost of equity is 3. The cost of capital (i.e., WACC) is %. (Round to the nearest hundredth.) %. (Round to the nearest hundredth.) % (Round to the nearest hundredth.)
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
10th Canadian edition
1259261018, 1259261015, 978-1259024979
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