Cadbury plc is a global confectionery company.Cadbury is forecasting its financial statements for Year 9.Selected financial information for Years 7 and 8 is provided in the table.What is the interest expense for Year 9? (Assume that Cadbury's average cost of debt is 3%.)
Selected Financial Information
Cadbury Inc.(£ millions)

Question

Quizplus · Accepted Answer

Interest 11ea7fdb_fc47_caa0_a768_39d23570743a_TB2902_11 = 11ea7fdb_fc47_caa1_a768_7b42003e14bb_TB2902_11 × (Short-term 11ea7fdb_fc47_caa2_a768_578b235f076b_TB2902_11 + Long-term 11ea7fdb_fc47_caa3_a768_7fe8105c72d0_TB2902_11 ) Interest 11ea7fdb_fc47_caa4_a768_532ee626c848_TB2902_11 = 0.03 × Cash₁₀ (£1,189 + £1,973) = £95

Cadbury Plc Is a Global Confectionery Company