If the cost of equity capital is 15% p.a. ,the market value of equity is $5 million,the company tax rate is 30%,the cost of debt is 12% p.a.and
=0)60,what is the cost of capital?
A)11.9%
B)11.7%
C)12.8%
D)12.6%

Question

If the cost of equity capital is 15% p.a. ,the market value of equity is $5 million,the company tax rate is 30%,the cost of debt is 12% p.a.and 
=0)60,what is the cost of capital?
A)11.9% 
B)11.7% 
C)12.8% 
D)12.6%

Quizplus · Accepted Answer

The Answer of If the cost of equity capital is 15% p.a. ,the market value of equity is $5 million,the company tax rate is 30%,the cost of debt is 12% p.a.and 
=0)60,what is the cost of capital?
A)11.9% 
B)11.7% 
C)12.8% 
D)12.6%

If the Cost of Equity Capital Is 15% P