answersLogoWhite

0

Cost of capital = (debt * percentage) + (Equity * percentage)

Cost of capital = 8 * 0.35 + 12 * 0.65

Cost of capital = 2.8 + 7.8

Cost of capital = 10.6

User Avatar

Wiki User

10y ago

What else can I help you with?

Related Questions

If a company has a capital structure that is financed with 30 percent debt what happens to the market value capital structure of that firm if it neither issues debt nor equity for several years?

the market value will remain the same or change, depending on movement of share price and the systematic risk of equity.the market may dissolve if it continious to incure more debts.


What is the percentage of externally financed enterprises in Austria?

According to the Austrian Federal Economic Chamber 70 percent of the enterprises are externally financed.


What is the capital requirement of universal banks?

Capital requirement is the amount of capital a financial institution is required to hold. The capital requirement for Universal Banks is four percent of their weighted average calculation.


What would the average year fixed rate mortgage cost?

The average of a 30 years contract would cost about 3.57 percent of the available capital. The average of a 15 years contract would cost about 2.72 percent.


Nary share capital is 40000000 and loan capital is 20000000 and total is 60000000 after is14 percent and 6 percent respectively calculating weighted average cost of capital given that ordinary?

I ami D.Rajkumar am started Real estet business in Tumkur i want 4crore loan in my business.


What description of a holding company?

a holding company is a company who holds more than 50 percent of the share capital of another company and has the right to appoint a director and have majority in voting rights or A+ answer owning the shares from other companies


How big is the average canvas company?

Approximately 85 percent had fewer than 100 employees.


What are the benefits and responsibilities of owning 1 percent of a company?

Owning 1 percent of a company can provide benefits such as potential financial gains through dividends and capital appreciation. However, it also comes with responsibilities such as staying informed about the company's performance, voting on important decisions, and potentially being liable for the company's debts.


What best description of a holding company?

a holding company is a company who holds more than 50 percent of the share capital of another company and has the right to appoint a director and have majority in voting rights or A+ answer owning the shares from other companies


Who are the major shareholders in shell oil company?

The largest shareholder of Shell oil company is Capital Research Global Investors. Another shareholder is BlackRock which own about six percent of the shares.


What is the average of 82 percent 94 percent 89 percent and 91 percent?

The average of 82 percent, 94 percent, 89 percent, and 91 percent is 89 percent.


What are the capital requirements for the wire springs industry?

The capital requirements for the wire springs industry are generally low, with average investment per establishment around 40 percent of that for the manufacturing sector as a whole.