Compute for the: 1.Equity value 2. Firm value

Next year’s expected firm earnings are $4,000, shares outstanding 1000, ROE=14%capitalization rate 10%, b(plowback ratio)=10% and assuming constant growth dividends. Calculate Po and Po in a no-growth case (b=0)

Compute the percentage change of Earnings Per Share   Compute the Combined Leverage of the expected unit Compute the Operating Leverage of the expected units.   Compute the Financial Leverage of the expected units. Compute the cOMBINED Leverage of the expected units.

What is the cost of equity based on the dividend growth model?  What is the cost of equity based on the security market line? What market weights should be given to the various capital components in the weighted average cost of capital computation What is the weighted average cost of capital using the cost equity calculated based on CAPM?

Given the following information, calculate the WACC. Capital Structure: Debt = 40% Pref Stock = 20% Common St = 40% Additional Information: Corporate Tax rate Preferred Dividend 25% $8.50 %3D Expected Common Dividend = $2.50 $105.00 Preferred Price= Growth Rate = 7% 9.5% Bond Yield = Preferred Floatation Cost = $3.60 $75.00 Common Stock Price=

Intro Munich Re Inc. is expected to pay a dividend of $4.82 in one year, which is expected to grow by 4% a year forever. The stock currently sells for $69 a share. The before-tax cost of debt is 7% and the tax rate is 34%. The target capital structure consists of 20% debt and 80% equity. Part 1 What is the company's weighted average cost of capital? 3+ decimals Submit

Compute the weighted average cost of capital given the information below.   Book Value of Debt $2,500,000,000 Market Value of Debt $2,750,000,000 Book Value of Equity $3,250,000,000 Market Value of Equity $4,000,000,000 Dividend Milberg has just paid $3.25 Current stock price $40.50 Growth rate of dividends 6% Bond information Coupon rate = 4%, maturity = 20 years, maturity value =$1,000 and the current price is $985.25.  Assume interest is paid semiannually. Flotation cost of equity 4% Flotation cost of debt 2%     Questions 2 through 8 use the following information.   Milberg Golf has decided to sell a new line of golf club.  The clubs will sell for $1,100 per set and have a variable cost of 80% of revenues per set.  The company has spent $450,000 for a marketing study that determined the company will sell 80,000 sets per year for seven years. The company also plans to offer a line of golf balls, which are expected to…

Baker Industries has a profit margin of 3%, a total asset turnover of 2, total assets of $60 million, revenue of $150 million, and equity of $20 million.  Compute Baker's return on equity.   Question 5 options:   9.0%   45.0%   18.0%   15.0%

Capital structure of the ABC PJSC is as follows:   Equity share capital   market value $ 200 million, dividend $ 4 , market price per share $88, dividend growth 4%. Bond   $ 300 million, Yield to maturity 4% , tax rate 20% Calculate weighted average cost of capital.

Here is some information about Stokenchurch Incorporated: Beta of common stock = 2.0 Treasury bill rate=4% Market risk premium = 8.3% Yield to maturity on long-term debt = 6% Book value of equity = $520 million Market value of equity = $1,040 million Long-term debt outstanding = $1,040 million. Corporate tax rate = 21% What is the company's WACC? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. WACC %