2 million shares of preferred stock outstanding, and 20,000 bonds. Suppose the common shares are selling for $27 per share, the preferred shares are selling for $14.50 per share, and the bonds are selling for 98 percent of par. What weight should you use for debt in the computation of FarCry’s WACC? (Round your answer to 2 decimal places.) Weight used %
Q: FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock…
A: Weighted Average Cost of Capital (WACC) is the overall cost of capital from all the sources of…
Q: Market Basket, Inc., has 125,000 shares of common stock outstanding at a price of $43 a share. They…
A: The weight of the preferred stock is the amount of preferred stock divided by the total capital.
Q: WhackAmOle has 2 million shares of common stock outstanding, 1.5 million shares of preferred stock…
A: WACC (weighted average cost of capital) refers to the average cost that is paid by a company to…
Q: COVID's apparel has total assets of P800,000, current liabilities of P150,000, and long-term…
A: There are two types of stock which are issued by a firm. One is the preference stock and other is…
Q: FarCry Industries, a maker of telecommunications equipment, has 6 million shares of common stock…
A: The following information is provided in the question: Common stock outstanding=6 million Preferred…
Q: Texas Tools Inc. has $20 million in earnings, pays $2.75 million in interest to bondholders, and…
A: Calculating the value of common stockholder’s residual claims to earnings. We have,Out of the total…
Q: FarCry Industries, a maker of telecommunications equipment, has 3 million shares of common stock…
A: The Weights are the proportion in which funds are invested as a source of funds in business. The…
Q: Dye Trucking raised $150 million in new debt and used this to buy backstock. After the recap, Dye’s…
A: Shareholder Equity: It can be described as the residual claim of the owners of the company after all…
Q: FarCry Industries, a maker of telecommunications equipment, has 3 million shares of common stock…
A: The weights are proportion in which sources of funds are employed in the capital structure. Weighted…
Q: FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock…
A: Given, Common stock outstanding = 2 million Preferred stock outstanding = 1 million Number of bonds…
Q: Bill's Boards has 6.5 million shares of common stock outstanding, 5.5 million shares of preferred…
A: WACC is the weighted average cost of capital. It is the discount rate which is used for discounting…
Q: A firm has 1 million shares outstanding with a book value per share of $10 per share. The stock…
A: The weighted average cost of capital (WACC) is a calculation of a firm's cost of capital
Q: The BEAR Company has 1700 bonds outstanding that have a market price of $1195 each and a face value…
A: "Hi, Thankyou for the question. Since, you posted multiple sub-part question, we will answer first…
Q: om and Jerry's has 3.4 million shares of common stock outstanding, 3.4 million shares of preferred…
A: The question is to calculate the weight of equity in total value of firm or total market value of…
Q: Creation Landscaping has 1,000 bonds outstanding that are selling for $1,280 each. The company also…
A: Bonds outstanding = 1000 Preferred stock outstanding = 2000 Preferred stock price = 27.20 Common…
Q: d Contractors has 4.5 million shares of common stock outstanding, 1 million shares of preferred…
A: The Weighted Average Cost of Capital (WACC) of a company is the total cost of capital, including…
Q: Masterson, Inc., has 7 million shares of common stock outstanding. The current share price is $73,…
A: Book Weight = Book Value / Total Value Market Value Weight = Market Value / Total Value
Q: V Corporation has debt with market value of $97 million, common equity with a book value of $97…
A: Common equity and preferred stock constitutes the share capital of a firm on which it requires to…
Q: The Greenbriar is an all-equity firm with a total market value of $530,000 and 21,000 shares of…
A: Calculation of current market price per share:
Q: OMG Inc. has 7 million shares of common stock outstanding, 5 million shares of preferred stock…
A: Given, Common stock outstanding = 7 million Preferred stock outstanding = 5 millin Number of bonds =…
Q: Executive Cheese has issued debt with a market value of $100 million and has outstanding 15 million…
A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…
Q: Windsor, Inc. is considering these two alternatives to finance its construction of a new $1.76…
A: EPS stands for Earnings per share which is a vital financial measure, it states the company…
Q: FarCry Industries, a maker of telecommunications equipment, has 26 million shares of common stock…
A: Weighted average cost of capital is the average cost of capital raised from various sources such as…
Q: which of the following is an example of a primary market transaction? Kellogg issued $200 million…
A: Primary Market refers to the part of the capital market in which securities are created and issued…
Q: The Cullumber Products Co. currently has debt with a market value of $300 million outstanding. The…
A: given, market value of debt = $300 million price of preferred share = $20 no of preferred share =…
Q: WhackAmOle has 4 million shares of common stock outstanding, 3.0 million shares of preferred stock…
A: Debt is the obligation of the company. It is reported in the balance sheet of the company.
Q: FarCry Industries, a maker of telecommunications equipment, has 3 million shares of common stock…
A: WACC is a firm's cost of capital that is proportionally weighted by capital type. WACC is often used…
Q: What weight should you use for preferred stock
A: Weighted Average Cost of Capital is the cost a company pays for its employed capital. It is the…
Q: WACC Weights BetterPie Industries has 3 million shares of common stock out- standing, 2 million…
A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…
Q: FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock…
A: Weighted Average Cost of Capital (WACC) is the overall cost of capital from all the sources of…
Q: i n 2018, Caterpillar Inc. had about 654 million shares outstanding. Their book value was $29.0 per…
A: Debt to Value ratio Debt to value ratio represent the amount of debt held by the company in its…
Q: OMG Inc. has 7 million shares of common stock outstanding, 5 million shares of preferred stock…
A: Weight of debt=Debt(Common stock+Preferred stock+Debt)×100
Q: The BEAR Company has 2000 bonds outstanding that have a market price of $1195 each and a face value…
A: Dear student, we need to use excel rate function to calculate yield to maturity(YTM) or before tax…
Q: Taunton's is an all-equity firm that has 150,000 shares of stock outstanding. The CFO is considering…
A: Stock outstanding= 150,000 shares Borrowing= $215,000 Interest rate= 7 percent interest…
Q: Jerald Toy Corporation has 7% cost of debt, 11% cost of equity, and 8% cost of preferred stock.…
A: The WACC is a monetary proportion that computes an organization's expense of financing and procuring…
Q: FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock…
A: Market value of each capital Capital Number of units Price per unit Value A B C=A*B Common…
Q: he Sandhill Products Co. currently has debt with a market value of $250 million outstanding. The…
A: GIVEN, DEBT = $250 million market value per common share = $20 outstanding common share = 14 million…
Q: The Crane Products Co. currently has debt with a market value of $275 million outstanding. The debt…
A: 1) cost of debt Using financial calculator, N =15*2 =30 PMT = 1000*9%/2 =45 PV = -1418.61 FV = 1000…
Q: Phillips Equipment has 6,500 bonds outstanding that are selling at 96.5 percent of par. Bonds with…
A: Weighted average cost of capital (WACC) When a firm has different sources of financing, the cost of…
Q: FCF Co. has 13,000 shares outstanding and a total market value of $1 million, $340,000 of which is…
A: Equity value = $660000 Number of shares = 13000 Stock dividend = 10%
Q: Mitchell Co. has $1.1 million of debt, $2 million of preferred stock, and $1.8 million of common…
A: A firm can finance its business operations through various sources of capital such as debt and…
Q: FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock…
A: Market value = Debt + Equity + Preferred stock Market value = (10,000*$1000*98%) + (2,000,000*$27) +…
Q: FarCry’s WACC? (R
A: The weighted average cost of capital refers to the return on the proportion of the amount invested…
Q: a. What is the market value of its equity? b. What is the market value of its debt? c. What…
A: Weighted average cost of capital (WACC) refers to the joint cost of company's capital from all the…
Q: Masterson, Inc., has 8 million shares of common stock outstanding. The current share price is $74,…
A: Market value of equity = no. of share * market price per share Market value of equity = 8 million *…
Q: FarCry Industries, a maker of telecommunications equipment, has 6 million shares of common stock…
A: The weighted average cost of capital is the firm's average cost of capital from all sources of funds…
FarCry Industries, a maker of telecommunications equipment, has 5 million shares of common stock outstanding, 2 million |
What weight should you use for debt in the computation of FarCry’s WACC? (Round your answer to 2 decimal places.) |
Weight used | % |
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 2 images
- FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock outstanding, 1 million shares of preferred stock outstanding, and 10,000 bonds. Suppose the common shares are selling for $27 per share, the preferred shares are selling for $14.50 per share, and the bonds are selling for 98 percent of par.What weight should you use for debt in the computation of FarCry’s WACC? (Round your answer to 2 decimal places.)OMG Inc. has 7 million shares of common stock outstanding, 5 million shares of preferred stock outstanding, and 4,000 bonds. Suppose the common shares are selling for $28 per share, the preferred shares are selling for $27 per share, and the bonds are selling for 108 percent of par. What weight should you use for debt in the computation of OMG's WACC? (Round your answer to 2 decimal places.) Weight usedFarCry Industries, a maker of telecommunications equipment, has 3 million shares of common stock outstanding, 1 million shares of preferred stock outstanding, and 10,000 bonds. Suppose the common shares are selling for $24 per share, the preferred shares are selling for $13.00 per share, and the bonds are selling for 97 percent of par. What weight should you use for debt in the computation of FarCry's WACC? (Round your answer to 2 decimal places.) Weight used pe here to search 近 TL
- FarCry Industries, a maker of telecommunications equipment, has 5 million shares of common stock outstanding, 2 million shares of preferred stock outstanding, and 20,000 bonds. Suppose the common shares are selling for $28 per share, the preferred shares are selling for $15.00 per share, and the bonds are selling for 98 percent of par. What would be the weight used for equity in the computation of FarCry's WACC? Note: Round your answer to 2 decimal places. Weight used %FarCry Industries, a maker of telecommunications equipment, has 3 million shares of common stock outstanding, 1 million shares of preferred stock outstanding, and 10,000 bonds. Suppose the common shares are selling for $28 per share, the preferred shares are selling for $15.00 per share, and the bonds are selling for 98 percent of par.What weight should you use for debt in the computation of FarCry’s WACC? (Round your answer to 2 decimalFarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock outstanding, 1 million shares of preferred stock outstanding, and 10,000 bonds. Suppose the common shares are selling for $24 per share, the preferred shares are selling for $13.00 per share, and the bonds are selling for 97 percent of par. What would be the weight used for equity in the computation of FarCry's WACC? (Round your answer to 2 decimal places.) Weight used
- FarCry Industries, a maker of telecommunications equipment, has 6 million shares of common stock outstanding, 4 million shares of preferred stock outstanding, and 45,000 bonds. Suppose the common shares are selling for $28 per share, the preferred shares are selling for $15.00 per share, and the bonds are selling for 99 percent of par What weight should you use for debt in the computation of FarCry's WACC? (Round your answer to 2 declmal places.) Weight used Mc Prev 2 of 8 Type here to search 五FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock outstanding, 1 million shares of preferred stock outstanding, and 10,0000 bonds. Suppose the common shares are selling for $27 per share, the preferred shares are selling for $14.50 per share, and the bonds are selling for 98 percent of par. What would be the weight used for equity in the computation of FarCry's WACC? (Round your answer to 2 decimal places. Write your answer in percentage.)FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock outstanding, 1 million shares of preferred stock outstanding, and 10,000 bonds. Suppose the common shares are selling for $27 per share, the preferred shares are selling for $14.50 per share, and the bonds are selling for 98 percent of par.What would be the weight used for equity in the computation of FarCry’s WACC? (Round your answer to 2 decimal places.)
- FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock outstanding, 1 million shares of preferred stock outstanding, and 10,000 bonds. Suppose the common shares are selling for $27 per share, the preferred shares are selling for $14.50 per share, and the bonds are selling for 98 percent of par. What would be the weight used for equity in the computation of FarCry's WACC? (Round your answer to 2 decimal places.) Weight used %BetterPie Industries has 7 million shares of common stock outstanding, 4 million shares of preferred stock outstanding, and 20,000 bonds. Assume the common shares are selling for $47 per share, the preferred shares are selling for $24.50 per share, and the bonds are selling for 99 percent of par. What would be the weights used in the calculation of BetterPie's WACC? Note: Do not round intermediate calculations. Round your answers to 2 decimal places.OMG Inc. has 4 million shares of common stock outstanding, 3 million shares of preferred stock outstanding, and 5,000 bonds. Suppose the common shares are selling for $15 per share, the preferred shares are selling for $24 per share, and the bonds are selling for 109 percent of par.What would be the weight used for equity in the computation of OMG’s WACC? (Round your answer to 2 decimal places.)