Calculating Beta when market capitalization is given
A company with a market capitalization of $100 million has no debt and a beta of 0.8. What will its beta be after it borrows $50 million (giving that there are no other changes and no taxes)?
Is this possible for a company with a positive net income and that does not distribute dividends to get itself in suspension of payments?
Explain lognormal random walk based on Brownian motion.
Who introduced put–call parity?
Explain merits and demerits of standard market practice to find the volatility as a function of underlying.
Could we suppose that, as we cannot predict the future evolution of the value of shares, a good estimation would be to consider this constant during the next five years?
I have two valuations of the company that we set as an objective. Within one of them, the present value of tax shields (D Kd T) computed using Ku (required return to unlevered equity) and, in one, by using Kd (required return to debt). The second valuation is too high
ABC Corporation stock sells at $27 per share and its dividend per share is $1.20. ABC has price-earnings ratio of 16. The company contains $40 million worth of bonds, selling at par, with 8.5% coupon. The EBIT of ABC is of $12 million and its tax rate is 30%. Calculat
Regular supply of working capital: The working capital requirement (WCR) estimation helps to ensure that the supply of raw material, which is essential to production, is uninterrupted. Therefore, the firm will be able to get sufficient credits and fun
You just took out a variable-rate mortgage on your new home. The mortgage value is $100,000, the term is 30 years, and initially the interest rate is 8%. The interest rate is fixed for 5 years, after which the time rate will be adjusted according to the prevailing rat
Does the equity of shareholders represents the savings a company has accumulated by the years?
18,76,764
1947098 Asked
3,689
Active Tutors
1443290
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!