• Q : Journal entry to record the acquisition of the land....
    Finance Basics :

    Question: Prepare the journal entry to record the acquisition of the land. Note: Please describe comprehensively and provide step by step solution.

  • Q : Equipment from laguna corporation....
    Finance Basics :

    Question: At what amounts should each of the three assets be recorded?

  • Q : Calculate the best-case and worst-case npv figures....
    Finance Basics :

    Question: Calculate the best-case and worst-case NPV figures. Note: Please provide step by step solution.

  • Q : Company cost of capital....
    Finance Basics :

    Question 1: What is the company cost of capital? Question 2: What is the after-tax WACC, assuming that the company pays tax at a 34% rate?

  • Q : Default risk premium on corporate bonds....
    Finance Basics :

    Question: What is the current Default Risk Premium (DRP) on the Corporate Bonds? Note: Give you opinion citing relevant ethical principles.

  • Q : Exchange rate of us dollars for brazilian real....
    Finance Basics :

    Bankone issued $200 million worth of one-year CD liabilities in Brazilian real's at a rate of 6.50 percent. The exchange rate of U.S. dollars for Brazilian real's at the time of the transaction was

  • Q : Shadow cost of equity....
    Finance Basics :

    Question 1: What is Shadow's cost of equity? (Percentage) Question 2: If the firm converts to 35% debt, what will it cost of equity be? (Percentage)

  • Q : Weston cost of equity capital....
    Finance Basics :

    Weston Industries has a debt-equity ratio of 1.5. Its WACC is 9.2 percent, and its cost of debt is 6%. The Corporate tax rate is 35%.

  • Q : Determining the irr for project....
    Finance Basics :

    Question: If the tax rate is 34 percent, what is the IRR for this project? Note: Can someone please give me a step by step solution?

  • Q : Target debt-equity ratio....
    Finance Basics :

    Question: What is Fama's target debt-equity ratio? Note: Can someone please give me a step by step solution?

  • Q : Firm market value capital structure....
    Finance Basics :

    Question: What is the firm's market value capital structure? Note: Could someone please give me a step by step solution?

  • Q : Total return for last year....
    Finance Basics :

    Question: What is your total return for last year? Note: Explain the solution in detail.

  • Q : Company composite wacc....
    Finance Basics :

    A typical Division S project has a 9% expected return. Since the project's return exceeds the division's WACC, the company should accept the project even though its return is less than the company's

  • Q : Issuing new stock....
    Finance Basics :

    Question: Assuming that the firm will not be issuing new stock, what is its WACC?

  • Q : Determining the firm wacc....
    Finance Basics :

    Question: What is this firm's WACC? Note: Provide thorough explanation of the given question.

  • Q : Myers cost of new external equity....
    Finance Basics :

    Question: What is Myers' cost of new external equity? Note: Provide thorough explanation of every question given in the problem.

  • Q : Firm cost of equity using the capm approach....
    Finance Basics :

    Question: What is this firm's cost of equity using the CAPM approach?

  • Q : Estimate of the interest rate....
    Finance Basics :

    Question: If the company were to issue new debt, what is a reasonable estimate of the interest rate (r d) on that debt?

  • Q : Percentage of debt than the capital structure....
    Finance Basics :

    If XYZ's market value of equity exceeds its book value and its bonds sell at par value, its market-based capital structure has a higher percentage of debt than the capital structure calculated using

  • Q : Non-dividend-paying stock....
    Finance Basics :

    A one-year long forward contract on a non-dividend-paying stock is entered into when the stock price is $40 $38 and the risk-free rate of interest is; 8% per annum with continuous compounding.

  • Q : Cost of equity if the company tax rate....
    Finance Basics :

    Question: What is its cost of equity if the company tax rate is 50%? Note: Provide correct solution of the given problem with step by step calculations.

  • Q : Holding period return-capital gain yield....
    Finance Basics :

    Guy A bought a share of stock at the beginning of 2011 and sold this share of stock at $45 today (end of 2011). During this holding period, he received $5 cash dividend. His holding period return, c

  • Q : Compute the net present value....
    Finance Basics :

    Question: Compute the net present value. Is this purchase financially justified? Note: Provide correct solution of the given problem with step by step calculations.

  • Q : Apr interest compounded monthly....
    Finance Basics :

    Linda borrows $18,500 from the bank at 12% APR interest compounded monthly to be repaid in 36 equal monthly installments.

  • Q : End of year loan payment....
    Finance Basics :

    Question: What is the end of year loan payment he would make each year? Note: Solve the given numerical problem and illustrate step by step calculation.

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