What was the existing capital structure for your firm do

Question

Please determine the optimum capital structure for United Parcel Service (UPS).

Complete the OCS project according to the assignment instructions. For example:

Complete a table similar to Figure 15-5 in the textbook

Use the "Sample Combination WACC and OCS Spread Sheet" as a model

Your table will likely not be identical since it depends on what your capital structure is now

What was the existing capital structure for your firm? Do you believe it was optimum?

Use Hamada's equation to determine the optimum

Should your company take on more debt, repurchase stock, have a seasoned equity offering? Justify your answers

I have attached instructions please read carefully. In addition I have attached the Sample Combination and OCS spreadsheet; A jpeg of Figure 15-5; I have also attached my weighted average cost of capital project for UPS which should provide you with relevant figures to perform calculations.

Attachment:- Attachment.rar

Answer 1

By using the spreadsheet provided all along with the assignment, answer the given questions in a comprehensive manner. 1) Please find out the optimum capital structure for the United Parcel Service (UPS). 2) Complete the OCS project in accordance to the assignment guidelines. 3) Your table will probably not be similar as it based on what your capital structure is now. 4) What was the accessible capital structure for your corporation? Do you suppose it was optimum? 5) Use Hamada's equation to find out the optimum. Should your corporation take on more debt, repurchase stock, encompass a seasoned equity offering? Validate your answers.