Chapter 9 hw - 6) The IOS, investment opportunity schedule...

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Akbar Bhojani 105882655 Discussion Questions: 1, 2, 3, 6 Problems: 9-1, 9-2, 9-3, 9-6, 9-7, 9-8, 9-9, 9-10, 9-16, 9-17, 9-18, 9-19, 9-24 1) 2) by having floations cost in the picture, the cost of raising capital is slightly higher than  using retained earnings supplied by the existing stockholders. 3) The weight in the wacc, is the emphasis on each of the percentages of each  component in the firms optimal capital structure.  
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Unformatted text preview: 6) The IOS, investment opportunity schedule is the list of proposed capital budgeting projects ranked by expected rate of return. It helps shows which project has the greatest return and would be most beneficial to the company. 9-6 =9.5*(1-35) =.06 or 6% 9-7 2/(26-.75) 7.9% 9-8 9-9 12.56% 9-10 14.19% 9-16 15.8 9-17 A) 11.66% B) 12.14% C) 15.6 9-18 6.66% 9-19 9-24 a) 500,000...
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Chapter 9 hw - 6) The IOS, investment opportunity schedule...

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