Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. hi, can you help me solve this? marie corp. has $

Hi, can you help me solve this? Marie Corp. has $1,733 in debt outstanding...

90.2K

Verified Solution

Question

Finance

image

Hi, can you help me solve this?

Marie Corp. has $1,733 in debt outstanding and $2,138 in common stock (and no preferred stock). Its marginal tax rate is 30%. Marie's bonds have a YTM of 5.3%. The current stock price (Po) is $47. Next year's dividend is expected to be $2.31, and it is expected to grow at a constant rate of 4% per year forever. The company's W.A.C.C. is %. Margin of error for correct responses: +/.10(%) Rounding and Formatting instructions: Do not enter dollar signs, percent signs, commas, X, or any words in your response. Do not round any intermediate work, but round your final response to 2 decimal places (example: if your answer is 12.3456 , 12.3456%, or $12.3456, you should enter 12.35). Note: Correct answer feedback may show more than 2 decimal places, but you should still follow instructions above for entering your answers. 6.58 margin of error +/0.1

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students