Given below is some information about Apsara Ltd:Capital structure of Apsara Ltd.: Book value of Equity Share Capital = Rs. 320 million; Long-term debt outstanding = Rs. 480 million ;Beta of Company’s equity shares = 1.2; Treasury bill rate = 4%;  Market risk premium = 8%;  Cost of debt = 8%; Corporate tax rate = 35%; What is the company's Weighted Average Cost of Capital (WACC)?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter12: Balanced Scorecard And Other Performance Measures
Section: Chapter Questions
Problem 7EB: Assume Plainfield Manufacturing has debt of $6,500,000 with a cost of capital of 9.5% and equity of...
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Given below is some information about Apsara Ltd:Capital structure of Apsara Ltd.: Book value of Equity Share Capital = Rs. 320 million; Long-term debt outstanding = Rs. 480 million ;Beta of Company’s equity shares = 1.2; Treasury bill rate = 4%;  Market risk premium = 8%;  Cost of debt = 8%; Corporate tax rate = 35%; What is the company's Weighted Average Cost of Capital (WACC)?

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Principles of Accounting Volume 2
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ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College