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1. 10,000,000 shares of common stock with a par value of $1 are outstanding and sell for $5 per share. The company's nex
Posted: Sun Apr 17, 2022 6:21 pm
by answerhappygod
- 1 10 000 000 Shares Of Common Stock With A Par Value Of 1 Are Outstanding And Sell For 5 Per Share The Company S Nex 1 (31.99 KiB) Viewed 56 times
1. 10,000,000 shares of common stock with a par value of $1 are outstanding and sell for $5 per share. The
company's next dividend will be $0.2 per share, which will grow at a rate of 5% per year. 2.5,500 bonds with a coupon rate of 4% are in circulation and mature in 10 years. The face value of each bond is $10,000. Interest is paid semi-annually and sold at face value. 3. A long-term bank loan of $18,000,000 with an annual interest rate of 3.5%. 4. Retained earnings of $24,000,000. 5. Assume the corporate tax rate is 19%. Please calculate the weighted average cost of capital (WACC) of Tianrong Group o