Problem 13.16 – Epicure Pizza
Fundamentals of Corporate Finance
Brealey, Myers, and Marcus
10th Edition
Determine the relevant figure for the debt ratio and do you need to revise your measure of debt ratio up or down.
Determine the relevant figure for the debt ratio and do you need to revise your measure of debt ratio up or down.
Given steady dividend income, last dividend, and stocks sold… determine Reliable Electric percentage cost of equity.
Given the information table on the financial company, calculate the cost of capital for Golden Fleece Financial.
With the given information on the proposition of going public… calculate the total value and equity of the company.
Given the share capital of the company and the company’s books… find how many shares are issued, outstanding, and how many more shares can be issued.
Given the amount of funds raised by selling stocks, the par value, and the net common equity (embedded in the soliton)… find the common shares, additional paid-in capital, and retained earnings.
Given the book value of common stockholders’ equity, newly issued amount of shares at the price per share… update the table with new values, and what would happen to the common equity if they bought back.
Given the profits of both companies, debt information for the second company, and corporate tax rate… find how much each company pays in tax and the total payout to investors.
Given the information on expansion plans and venture capital, determine for total after-the-money valuation and the value of the venture capitalist placing on each share for Ethelbert.com.
Given the information on the public offering… calculate the company’s flotation costs as a fraction of funds raised.