Solved: Market value of the ordinary shares, Finance Basics

+44 141 628 6080
[email protected]

Market value of the ordinary shares

I want to know how to calculate the market value in order to calculate the WACC.

PROBLEM:

8% bonds that mature in 20 years $8000000
Ordinary shares $5000000
6% preference shares $ 2000000

The market value of bonds is currently $8440000

Shares currently quoted as $0.60

I believe the market value of bonds is the stated $8440000, but how do I work out the market value of the ordinary shares?

View Complete Question

Solution Preview :

Prepared by a verified Expert

Finance Basics: Market value of the ordinary shares

Reference No:- TGS01807563

Now Priced at $25 (50% Discount)

Recommended (91%)

Rated (4.3/5)

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Asked Questions

How protein is an essential part of our health

Protein is an essential part of our health as it forms building blocks for all of our cells, which then use amino acids to repair muscle, skin, organs, and bone

Discuss about health information exchanges in the niles

Review the information about Health Information Exchanges in the Niles (2024) textbook. Match the description to the term as best as you can

Discuss education and care services national regulations

According to the Education and Care Services National Regulations, when children attend the service there must also be at least one staff

How to determine if there is a quality issue

In Lesson, we discussed how to determine if there is a quality issue to measure and access. Meaning, once you have determined there is a quality problem

What inter-professional involvement needs to be considered

You have less than 10 minutes to identify the health and social concerns/needs and interventions you believe should be considered for Lorena

Why should contraception be a reproductive right

According to our textbook, lack of access to contraception negatively impacts women Why should contraception be a reproductive right?

Problem regarding childhood education and care services

In early childhood education and care services parents must always be fully informed in advance about anything that is provided for their child

Solution Preview :

Prepared by a verified Expert

Finance Basics: Market value of the ordinary shares

Reference No:- TGS01807563

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

Q : Finding foust weighted average cost of capital

Q : Personality and diversity at work

Q : Discuss how your earlier team use to functioned

Q : Determine the brand organizational restructure

Q : Market value of the ordinary shares

Q : Distinguish between book value and market value

Q : Develop strategies to advance your career

Q : Modern managerial accounting techniques

Q : Explain the meaning of terms of trade