Alpha Corporation has average annual free cashflows to the equity holder and to the firm of P3,000,000 and P3,350,000 respectively. Assuming that the weighted average cost of capital and actual return of on assets is 16.75% while the market return on Alpha's debt is 7%, what is the value of its equity?  a. P34,358,974.36  b.P15,000,000.00  c.P17,910,447.76  d.P20,000,000.00

Q18 If the company’s EBIT is OMR 500,000; market value of the equity is OMR 2,000,000 and value of Debt is OMR 4,000,000; then what is the overall cost of capital of the firm under Net Income Approach? a. 12.5% b. 10% c. 25% d. 8.33%

Problem C: Liquidity RatiosABC has P400,000 cash, P200,000 short‐term investments, P500,000 receivables, and P900,000 inventories. It has trade payables ofP600,000 and short‐term loans of P900,000. It is planning to acquire another short‐term loan. However, the first loan requires ABCto maintain a minimum current ratio of 125%.Required:1. Current ratio if ABC borrowed P300,0002. Current ratio if ABC borrows P600,0003. Maximum loan amount that ABC can borrow *Answer in percent rounded off to two decimal places, e.g. 125.33 for 125.33%.

You are analysis Sasol stock and you have gathered the information in the table below. If the net debt of the firm increased by R20 million, what is the approximate FCFE? FCFF Interest after tax Tax rate FCFE growth Cost of equity R198m R15m 35% 3% 14%     R1,950     R2,497     R203     R188.25     R208.25