Beximco Pharmaceuticals Ltd. has 68,200 of common stock outstanding. Beximco employs tk. 55,80,000 of debt capital carrying 10% interest charge. The overall cost of the capital is 12.50%. Its net operating income (EBIT) is tk.15,50,000. Required: (using NOI approach vii) Percentage of financial leverage viii) DPS

Q: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: WACC=15.45% Cost of debt =11% Tax Rate = 25% Dividend per share = $3.25 Growth rate = 6%

Q: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: As per formula; Cost of common equity = D0 * (1 + g) / P0 + g Where; D0 = Current dividend i.e.…

Q: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: Cost equity by dividend growth model: Cost of Equity = D0*(1+g)/P + g D0 is current dividend g is…

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A: Formula:  Earnings per share= earnings available for common stock holders/number of common stock.…

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A: Given, Debenture cost is 8% Preferred stock cost is 12%

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A: The shareholder's equity refers to the value of equity shareholders. It determines with the help of…

Q: Beximco Pharmaceuticals Ltd. has 68,200 of common stock outstanding. Beximco employs tk. 55,80,000…

A: The net operating income approach suggests that the weighted average cost of capital and the total…

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A: The amount that can be distributed as dividend but yet ploughed back by management for any planned…

Q: es. . . . . . . . . . . . . . . . . . . . . . . . . . . .  800,000  Variable costs. . . . . . . . .…

A: EBIT (Earnings Before Interest & Taxes): It shows the profitability of the company. It is…

Q: In December 2020, Nachil Co. had a share price of AED 60. They had 32 million shares outstanding, a…

A:

Q: Hook Industries' capital structure consists solely of debt and common equity. It can issue debt at…

A: Gordon's growth model is one of the most commonly used variations of the dividend discount model.…

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: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: Cost of Debt = 11% Current Dividend = 2 Current Stock Price = 26.25 Dividend growth rate = 5% Tax…

Q: Beximco Pharmaceuticals Ltd. has 68,200 of common stock outstanding. Beximco employs tk. 55,80,000…

A: The net operating income approach suggests that the weighted average cost of capital and the total…

Q: ABC Corporation has a total debt of $12,240,000 and their cash balance is equal to 10% of their…

A: Shareholder Equity Shareholders' equity (or corporate net worth) is a measurement of how much money…

Q: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: After tax cost of debt is = 8%(1-0.25) = 6%

Q: CostaCap Corporation's capital structure (market value weights) consists of 50% common stock, 10%…

A: Capital Pre tax cost Weight Tax rate Debt 3% 40% 25% Equity 8% 50%   Preferred stock 5% 10%

Q: A company's capital structure is as follows:Debt Weight 10%, Preferred Stock Weight 50%, Common…

A: Capital Weight Cost Debt 10% 13% Preferred stock 50% 19% Common equity 40% 15%

Q: What percentage of the company's capital structure consists of debt? Do not round intermediate…

A: Information Provided: Before-tax cost of debt = 11% Dividend per share = $3.50 Stock price = $21.50…

Q: Wims, Inc., has current assets of $5,760, net fixed assets of $25,500, current liabilities of…

A: Shareholders are the owners of the company, the funds provided by the shareholders to the company is…

Q: The Plastic Corporation has a current capital structure consisting of $400,000 of 10% debt and 3,000…

A: 1. Particulars I II EBIT $80,000 $120,000 Less: Interest expenses($400,000 x 10%) 40,000…

Q: The company capital structure consists of debt 150000 at 4.05%, preferred stock is 20% from debt…

A: Weighted average cost of capital (WACC): It is a method of calculating a company's cost of capital…

Q: irm AB and Firm YZ are identical except for their debt-to-total-assets ratios (D/Tas) and interest…

A: Given: Assets is $200,000 EBIT is $40,000 Marginal tax rate is 40% The D/TA ratio of firm AB is 40%…

Q: Beximco Pharmaceuticals Ltd. has 68,200 of common stock outstanding. Beximco employs tk. 55,80,000…

A: Number of shares outstanding = 68,200 Debt = 5,580,000 Interest Rate = 10% Interest Expense = Debt ×…

Q: The company’s capital structure is as follows: Debt Weight 25%, Preferred Stock Weight 25%, Common…

A: A firm's capital structure shows a combination of debt and equity utilized to finance its business…

Q: An entity has the following information in its balance sheet. Ordinary shares of TZs 50 each TZS…

A: Weighted average cost of capital (WACC): When a firm's weighted average cost of capital (WACC) is…

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Q: National Co. has an ROE of 15 percent, a debt ratio of 40 percent, and a profit margin of 6 percent.…

A: The ratio analysis helps to analyse the financial statements of the business.

Q: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: Cost of Debt before tax = 8% Stock Current Dividend per share = 4 Stock Current Price = 29.50…

Q: The company capital structure consists of debt 250000 at 0.084, preferred stock 230000 at 11% and…

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A: WACC is the avg. cost for the entity that arises due to external financing. It is computed based on…

Q: CO A has cash flows of $0.76 per share, earnings of $1.25 per share and 115,000 shares outstanding.…

A: Shares refer to the cumulative amount of stock that's traded by the company. They are held by the…

Q: the current total firm value of Lex Corp is $278,534.78 million     Lex Corp.’s debt has a market…

A: Intrinsic value refers to an object's, asset's, or financial contract's underlying, objective value.

Q: Hook Industries capital structure consists solely of debt and common equity. It can issue debt at rd…

A:

Q: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: Capital Structure: A company's capital structure is the specific mix of debt and equity it employs…

Q: perties Berhad uses the following four sources of capital in their company's operations; No…

A: Weighted average cost of capital can be calculated from different weighted cost of capital of each…

Q: Alpha Corporation reported the following financial details for t ncial year 2021. Revenue is $250…

A: The earnings per share or the EPS are of two types that is the basic EPS and the diluted EPS. This…

Q: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: The capital structure of a company consists of equity and debt. The costs of raising funds from both…

Q: CO A has cash flows of Ş0.76 per share, earnings of $1.25 per share and 115,000 shares outstanding.…

A: In this question intrinsic value of Co B has to be find out. It can be found out by multiplying the…

Q: b) Beximco Pharmaceuticals Ltd. has 68,200 of common stock outstanding. Beximco employs tk.…

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at…

A: Cost of debt = 11% current price of stock = 34.75 Current dividend = 2.50

Q: CO A has cash flows of $0.76 per share, earnings of $1.25 per share and 115,000 shares outstanding.…

A: Compatible companies are the companies which can be compared as they are into same business and…

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A: Debt-to-equity ratio = Total liability / Total shareholder's Equity Total Assets to equity = 100%…

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Q: Oman Company has a common stock of $5,500, a paid-in surplus of $8,200, tota liabilities of $6,600,…

A: Total assets = Fixed assets + current assets = 16900 + 7200 = $24,100