3.ABOUT1. You are offered a current loan of 8,000 (in million rupiah) but must make a return during4 years as follows: Year 1: 4,400, Year 2: 2,700, Year 3: 1,900, Year 4: 1,500.a. What is the IRR of the offer?b. If the discount rate is 10%, do you accept the offer? explainC. If the discount rate is 20%, do you accept the offer? Explain2.Capital structure of PT. PNA now is:IDR 2.000.000.000,-Preference shares IDR 3,000,000,000,-DebtOrdinary shares IDR 5,000,000,000Fees for each funding, debt 6%, Preferred stock 6%, Commont stock 10% and tax 50%. The amountof profit for ordinary shareholders that is currently Rp. 2,000,000,000 and 50% will be paidas dividends, and the rest will be withheld. The company will use the retained earnings asadditional capital with the assumption that the capital composition and average are maintainedits cost of capital.From the data above calculate:A. Weighted cost of capitalB. Additional total capital so that the composition of new capital remains constantC. Calculate the new capital structureP.T. "FSW" in 2023 plans to produce and sell a product of 100,000 units a month. The company worksan average of 30 (thirty) days a month. Each product requires 12 kg of raw materials. The purchase priceof raw materials per kg is IDR 1 million. Purchases of raw materials are always done on a regular basiscash. After being purchased while waiting for the production process, raw materials are stored in thewarehouse for 20 days (no admin fees during storage). While the production process takes 4 days.After completion of production before being sold, the finished product must be dried which takes7 days. Sales of finished products are made on credit and billed for 30 days. The direct labor wage is IDR10,000 per unit. Marketing and administration costs are estimated at IDR 150,000,000 per month. Asa precaution, a petty cash fund of IDR 30,000,000 is provided. From the data above, calculate the workingcapital needs of PT "FSW" for 2023.

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1. You are offered a current loan of 8,000 (in million rupiah) but must make a return during 4 years as follows: Year 1: 4,400, Year 2: 2,700, Year 3: 1,900, Year 4: 1,500. a. What is the IRR of the offer? b. If the discount rate is 10%, do you accept the offer? explain C. If the discount rate is 20%, do you accept the offer? Explain

1. You are offered a current loan of 8,000 (in million rupiah) but must make a return during 4 years as follows: Year 1: 4,400, Year 2: 2,700, Year 3: 1,900, Year 4: 1,500. a. What is the IRR of the offer? b. If the discount rate is 10%, do you accept the offer? explain C. If the discount rate is 20%, do you accept the offer? Explain

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section: Chapter Questions

Problem 2STP

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