Common Stock: 30 million shares of Class A trading at $ 48 10 million shares of Class B trading at $72 Preferred Stock: 5 million shares trading at $64 Bonds: 150,000 series 2053's - 30 years trading at 104.5 $1000 face 400,000 series 2045's - 22 years trading at 98.5 $2000 face 250,000 series 2028's - 5 years trading at 87.6 $ 1000 face. Determine WACC Type Common - Class A Common Class B Preferred Bonds 2053 Bonds 2045 Bonds 2028 Determine WACC Wts Cost Cost Cost No Tax adj With Tax Credit 59.3% 8.8% 31.9% Total 100.0% answer answer

Common Stock: 30 million shares of Class A trading at $ 48 10 million shares of Class B trading at $72 Preferred Stock: 5 million shares trading at $64 Bonds: 150,000 series 2053's - 30 years trading at 104.5 $1000 face 400,000 series 2045's - 22 years trading at 98.5 $2000 face 250,000 series 2028's - 5 years trading at 87.6 $ 1000 face. Determine WACC Type Common - Class A Common Class B Preferred Bonds 2053 Bonds 2045 Bonds 2028 Determine WACC Wts Cost Cost Cost No Tax adj With Tax Credit 59.3% 8.8% 31.9% Total 100.0% answer answer

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter7: Analysis Of Financial Statements

Section: Chapter Questions

Problem 3P: Winston Watch’s stock price is $75 per share. Winston has $10 billion in total assets. Its balance...

See similar textbooks

Similar questions

IF BG CORPORATION ISSUED THE FF. WHAT IS THE PAR VALUE OF PARTICIPATING PREFERRED STOCKS? 600 COMMON STOCKS PAR VALUE $100 550 PARTICIPATING PREFERRED STOCKS PAR VALUE $100 AT 3% BG CORPORATION DECLARED A $20,000 DIVIDEND IN 2021 Group of choices: A. $3,300 B.$1,650 C.$33,000 D.$55,000
Book value of common stockholders' equity of FedEx, May 31, 2020 (figures in $ millions) Common shares ($0.10 par value per share) $ 30 Additional paid-in capital 3,097 23,722 (7,756) (369) $ 18,724 Retained earnings Treasury shares at cost Other Net common equity Note: Authorized shares (millions) Issued shares, of which: Outstanding shares Treasury shares Required: a. Suppose that FedEx now issues 4 million shares at $180 a share. Update the table below with the new values. b. What would happen to the book value of common stockholders' equity if instead FedEx bought back 4 million shares at $180 per share? Complete this question by entering your answers in the tabs below. Required A Required B What would happen to the book value of common stockholders' equity if instead FedEx bought back 4 million shares at $180 per share? Note: Negative amounts should be indicated by a minus sign. Enter your answers in millions rounded to 1 decimal place. Common shares ($0.10 par value per share)…
PROBLEM 3 The stockholders equity of Willpower Corporation showed the following data on December 31, 2022:12% preferred stock, P30 par, 135,000 shares issued and outstanding P 4,050,000Common stock, P50 par, 180,000 shares issued and outstanding 9,000,000Premium on preferred stock 1,080,000Premium on common stock 3,240,000Retained earnings 1,395,000The 2023 transactions of the company affecting its stockholders’ equity are summarized chronologically as follows:A. Issued 27,000 shares of preferred stock at P40.B. Issued 94,500 shares of common stock at P70.C. Retired 5,400 shares of preferred stock at P45.D. Purchased 13,500 shares of its common stock at P80.E. Split common stock two for one (par value reduce to P25).F. Reissued 13,500 shares of treasury stock – common at P50.G. Stockholders donated to the company 9,000 shares of common stock when shares had a market price of P52. One half of these shares were subsequently issued for P54.H. Dividends were paid at the end of the…
PROBLEM 3 The stockholders equity of Willpower Corporation showed the following data on December 31, 2022:12% preferred stock, P30 par, 135,000 shares issued and outstanding P 4,050,000Common stock, P50 par, 180,000 shares issued and outstanding 9,000,000Premium on preferred stock 1,080,000Premium on common stock 3,240,000Retained earnings 1,395,000The 2023 transactions of the company affecting its stockholders’ equity are summarized chronologically as follows:A. Issued 27,000 shares of preferred stock at P40.B. Issued 94,500 shares of common stock at P70.C. Retired 5,400 shares of preferred stock at P45.D. Purchased 13,500 shares of its common stock at P80.E. Split common stock two for one (par value reduce to P25).F. Reissued 13,500 shares of treasury stock – common at P50.G. Stockholders donated to the company 9,000 shares of common stock when shares had a market price of P52. One half of these shares were subsequently issued for P54.H. Dividends were paid at the end of the…
Book value of common stockholders' equity of FedEx, May 31, 2020 (figures in $ millions) Common shares ($0.10 par value per share) Additional paid-in capital Retained earnings Treasury shares at cost Other Net common equity Note: Authorized shares (millions) Issued shares, of which: Outstanding shares Treasury shares Required: $ 38 3,094 23,719 (7,711) (366) $ 18,774 332 48 a. Suppose that FedEx now issues 7 million shares at $130 a share. Update the table below with the new values. b. What would happen to the book value of common stockholders' equity if instead FedEx bought back 7 million shares at $130 per share? Complete this question by entering your answers in the tabs below. Required A Required B Suppose that FedEx now issues 7 million shares at $130 a share. Update the table below with the new values. Note: Negative amounts should be indicated by a minus sign. Enter your answers in millions rounded to 1 decimal place. Common shares ($0.10 par value per share) $ 0.7 909.3…
Preferred shares, $4.55 non-cumulative, 52,000 shares authorized and issued* $ 3,328,000 Common shares, 87,000 shares authorized and issued* 1,392,000 *All shares were issued during 2018. 2. Calculate the dividends paid per share to both the preferred and the common shares in 2020 assuming preferred shares are cumulative. (Round the final answers to 2 decimal places.)
If a firm initially sells 100 shares of Common Stock at $5.00 per share and the stock is currently selling on the NYSE at $8.00, what will be the balance of Common Stock reported on the Equity section of the Balance Sheet? $5.00 $500.00 $8.00 $800.00
A stock market comprises 2300 shares of stock A and 2300 shares of stock B. The share prices for stocks A and B are $20 and $10, respectively. What proportion of the market portfolio is comprised of each stock? A. Stock A is 66.7% and Stock B is 33.3% B. Stock A is $46,000 and Stock B is $23,000 C. Stock A is 200% and Stock B is 100% O D. Stock A is 33.3% and Stock B is 66.7%
If a firm initially sells 100 shares of Common Stock at $5.00 per share and the stock is currently selling on the NYSE at $8.00, what will be the balance of Common Stock reported on the Equity section of the Balacnce Sheet? $5.00 $500.00 $8.00 $800.00
Problem 1. The stockholders' equity section of Kookie Co. revealed the following information on December 31, 2022. Preference stock, P50 par Share premium – preference Ordinary stock, P15 par Share premium – ordinary Subscribed ordinary stock Retained earnings 2,300,000 805,000 5,250,000 2,750,000 150,000 1,900,000 400,000 Subscriptions receivable – ordinary (collectible next month) Required: Answer the following questions with supporting computations: 1. How much is the legal capital? 2. How much is the total paid in capital? 3. What is the amount of the stockholders' equity on 12/31/2022? 4. How many preference shares were issued? 5. How many ordinary shares were subscribed?
AUDIT OF MARKETABLE SECURITIES – TRADING The company’s equity portfolio as of year-end showed the following: Total Market Value Shares Cost per Share SCC 7,000 108,500 P16.00 PHA 10,000 195,000 19.75 PAL 2,400 49,200 24.00 EMP 2,000 67,000 26.00 DMC 8,000 31,600 1.20 UB 1,600 50,880 27.50 P502,180 The securities are listed in the stock exchange. The company follows the fair value accounting. Trading securities A. P403,640 B. P502,180 C. P491,240 D. P472,700
Find the preferred stocks. LV CORPORATION ISSUED THE FOLLOWING: -850 COMMON STOCKS PAR VALUE $100 -700 PARTICIPATING PREFERRED STOCKS PAR VALUE $100 AT 6% -LV CORPORATION DECLARED $40,000 DIVIDEND IN 2021