Given the following information, fill in the numbers needed for the MCC schedule below. Equity Debt Internal cost of equ
Posted: Wed Jul 06, 2022 6:40 pm
Given the following information, fill in the numbers needed for the MCC schedule below. Equity Debt Internal cost of equity: 19% External cost of equity: 22% Cost of first class of debt: 6% Weight on Equity 1st MCC 35% 2nd MCC Last MCC Cost of second class of debt: 7.2% 35% 25% Breakpoint $65m 19% $55m 22% Cost of Equity + Weight on Debt 65% 65% 65% Cost of Debt 6% 7.2%