a)The equity shares of Cyberdyne Plc have a beta value of 0.90. The risk-free rate of return is 5% and the market risk premium is 3%. Corporation tax is 19%. .Calculate the required rate of return on the shares of Cyberdyne Plc and explain the impact of beta on the shares of the company. b) Outline five benefits/advantages that a Stock Exchange listing could offer a company. c) Calculate the Yield to Maturity (YTM) of a £100 nominal value irredeemable bond with a coupon rate of 7% and a market value of £105. d) A 10-year corporate bond has 6 years remaining until redemption. The par value is £100and it pays a 4% coupon on an annual basis. The yield to maturity is 8%. Using the above information, calculate the market price of the bond.

The following were gathered for estimating the cost of equity of KKK Corporation: Return on Treasury Bonds = 4%; Return on the Market = 10%; Return on KKK Bonds = 6%. Upon analysis, you determined that the beta of KKK shares relating to the market return is 1.2 while a risk premium of 4% should be given to KKK's investors over its creditors. How much is the cost of equity using the bond plus risk premium?

Consider the following security:                               Applegate Aeronautical, Incorporated             Earnings Per Share, Next Year $2.50              Dividend Payout Rate 0.400             Return on Equity 0.150             Beta 1.250                             Market Data              Market Risk Premium 0.075             Risk-free Rate 0.025                             Required:               Using the information in the tables above, please calculate the dividend per share, the retained earnings, and the intrinsic value of this stock.                 (Use cells A5 to B12 from the given information to complete this question.)                               Applegate Aeronautical, Incorporated             Market Capitalization Rate               Dividends per share (Next Year)               Sustainable Growth Rate               Intrinsic Value

please see attatched file

The primary goal of a corporation is to   Question 11 options:   A)  maximize the current value per share of the existing stock.   B)  maximize expected total net income over a long period of time.   C)  maximize expected total corporate sales revenue.   D)  minimize the chances of losses.   E)  maximize expected EPS.

a) You are planning to takeover a company, Company X, and you have gathered the followingdata of the stock:Current period earnings: £5. ROE: 8%Beta: 1.5Risk free rate: 2%Market risk premium: 5% Plowback ratio: 70%Based on the above information,i. What is the current price of the stock?ii. What is the present value of growth opportunities?

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man.3   Imagine you are a CFO of a company that is publicly traded in stock exchange and has one of the smallest market capitalisations among all the companies available at the stock market. Assume that a risk-free rate is 2%, average return on broadly defined stock index is 12% and according to your computations the company has a market beta of 1.5. Estimate the cost of equity capital for your company and discuss, in the light of the empirical findings on the performance of CAPM and the existing anomalies, the quality of your investment decisions when using this value for the purpose of project evaluation. The expected return on the firm's equity is:

Provide correct answer the financial accounting question

Q2. Suppose you are the chief financial officer of Toktik Co. and you are trying to determine the optimal capital structure for the company using the cost of capital approach. On the day of this exam, you have collected the following company and market data: The beta of the company is 2.6; • 10-year Treasury bond rate is 1.6% and the current market equity risk premium is 6.9%; • The company's current bond rating is BB by Standard & Poor's; • The firm currently has 5.2 billion shares outstanding with share price at $120 and the firm's market value of debt is $264 billion • The company's marginal tax rate is 35%. Also you are given the following table concerning the latest information on bond rating and the corresponding default spread: Default spread Rating AAA 0.69% AA 0.85% A+ 1.07% A 1.18% А- 1.33% BBB 1.71% BB+ 2.31% BB 2.77% B+ 4.05% 4.86% В- 5.94% ССС 9.46% CC 9.97% 13.09% D 17.44% Required: a) Briefly explain, by referencing relevant capital structure theories, the mechanisms…