A company has $50 million in common stock, $10 million in preferred stock, and $20 million in outstanding bonds. What is the percentage of debt in this firm’s capital structure? Enter your answer as a percentage, without the percentage sign (‘%’), rounded to 1 decimal. For example, if your answer is 0.0789, that’s 7.9%, so just enter 7.9

Assume a project has a positive NPV, and that its IRR is unique (there is no problem with multiple IRRs). In this case, which one is expected to be higher, the IRR or the MIRR?

Whited Inc.’s stock currently sells for $35.25 per share. The dividend is projected to increase at a constant rate of 4.75% per year. The required rate of return on the stock, rs, is 11.50%. What is the stock’s expected price 5 years from now?

Returns for the Alcoff Company over the last 3 years are shown below. What’s the standard deviation of the firm’s returns? (Hint: This is a sample, not a complete population, so the sample standard deviation formula should be used.) Year Return 2010   21.00% 2009 −12.50% 2008   25.00%

A new project proposal involves an initial investment of $12 million, followed by cash flows of 3, 4 and 7 million. What is the MIRR for this project? The firm’s WACC is 10%. Enter your answer as a percentage, without the ‘%’ sign, and rounded to 2 decimals. For example, if your answer is 0.05678, enter 5.68

Assume a company issued a callable bond with an 8% coupon rate a few years ago. Which of the following changes are likely to prompt the firm to call the bond?

You were hired as a consultant to Giambono Company, whose target capital structure is 40% debt, 15% preferred, and 45% common equity. The after-tax cost of debt is 6.00%, the cost of preferred is 7.50%, and the cost of retained earnings is 12.75%. The firm will not be issuing any new stock. What is its WACC?

Stock X has a beta of 0.7 and Stock Y has a beta of 1.7. Which of the following statements must be true, according to the CAPM?

From a WACC calculation prepared for you by a consultant, you find that their estimation of the after tax cost of debt is 6%. Given a tax rate of 40% and a WACC of 15%, what must have been the cost of debt before adjusting for taxes?  

While caring for the client admitted with recurring pneumonia, the nurse assesses flat, purplish lesions on the back and trunk.  Which condition correlates with this assessment finding?