subject
Business, 08.04.2020 20:05 falabit

The stock is currently selling for $17.75 per share, and its noncallable $3,319.97 par value, 20-year, 1.70% bonds with semiannual payments are selling for $881.00. the beta is 1.29, the yield on a 6-month treasury bill is 3.50%, and the yield on a 20-year treasury bond is 5.50%. the required return on the stock market is 11.50%, but the market has had an average annual return of 14.50% during the past 5 years. the firm's tax rate is 40%.refer to exhibit 10.1. what is the best estimate of the after-tax cost of debt?a. 6.07%

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 06:30
Select all that apply. select the ways that labor unions can increase wages. collective bargaining reducing the labor supply increasing the demand for labor creating monopolies
Answers: 1
question
Business, 22.06.2019 12:50
Salaries are $4,500 per week for five working days and are paid weekly at the end of the day fridays. the end of the month falls on a thursday. the accountant for dayton company made the appropriate accrual adjustment and posted it to the ledger. the balance of salaries payable, as shown on the adjusted trial balance, will be a (assume that there was no beginning balance in the salaries payable account.)
Answers: 1
question
Business, 22.06.2019 13:00
Amajor advantage of case studies is
Answers: 2
question
Business, 22.06.2019 20:00
How many organs are supplied at a zero price? (b) how many people die in the government-regulated economy where the government-set price ceiling is p = 0? the quantity qd – qa. the quantity qe – qa. the quantity qd – qe. (c) how many people die in the market-driven economy?
Answers: 1
You know the right answer?
The stock is currently selling for $17.75 per share, and its noncallable $3,319.97 par value, 20-yea...
Questions
question
Mathematics, 25.09.2019 20:00
question
Mathematics, 25.09.2019 20:00
question
Social Studies, 25.09.2019 20:00
question
Social Studies, 25.09.2019 20:00
question
Mathematics, 25.09.2019 20:00
question
Mathematics, 25.09.2019 20:00
Questions on the website: 13722366