Finance Final Problems 2020.docx - Final Exam \u2013 Problems Covers Chapters 9 10 11 14 15 and 21 10 multiple choice problems Time limit:1.5 hours Due by

# Finance Final Problems 2020.docx - Final Exam u2013...

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Final Exam – Problems Covers Chapters 9, 10, 11, 14, 15, and 21 10 multiple choice problems Time limit:1.5 hours. Due by Sunday at 11:59 p.m. ET. Attempt History Attempt Time Score LATEST Attempt 1 36 minutes 90 out of 100 Score for this quiz: 90 out of 100 Submitted Jun 28 at 11:23pm This attempt took 36 minutes. Question 110 / 10 ptsAssume that Kish Inc. hired you as a consultant to help estimate its cost of common equity. You have obtained the following data: D0= \$0.90; P0= \$27.50; and g = 7.00% (constant). Based on the DCF approach, what is the cost of common equity assuming no flotation costs? 9.29%9.68%10.08%Correct!10.50%
10.92% Question 210 / 10 ptsBenge Automotive issued a corporate bond with a face value of \$1,000, with a 10% annual coupon rate paid semiannually. The bond matures in 12 years and sells at a price of \$1,080. What is the component cost of debt for use in the WACC calculation?