whatsapp

Connect on Whatsapp : +97143393999 , Uninterrupted Access, 24x7 Availability, 100% Confidential. Connect Now

Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!
loader
Add File

Error goes here

Files Missing!

Please upload all relevant files for quick & complete assistance.

Guaranteed Higher Grade!

CO5109 Corporate Finance

tag 0 Download 12 Pages / 2,980 Words tag 29-07-2020
  • Course Code: ITC205
  • University: James Cook University
    icon

    MyAssignmentHelp.com is not sponsored or endorsed by this college or university

  • Country: Australia

Question:

Aim

The aim of this assessment task is to apply finance theory and concepts to the practical estimation of a firms cost of capital and provide a report to management.

You will be required to search for data or calculate variables as part of the assignment to find financial information such as the firm’s cost of debt, beta and current risk-free rate (try to match the risk-free rate with the project duration; for a 10-year investment, the Commonwealth Government 10-year Treasury Bond yield is appropriate).  

Through the JCU Library website you can access the Morningstar database (DatAnalysis). Searching other websites such as the Reserve Bank of Australia is also required. The reserve Bank of Australia has information on the Commonwealth Government Bond rates and also information on indicated lending rates for public companies (the indicated lending rates tell us the rates that major banks are using for large and small company loans).  

Occasionally, the cost of interest that we calculate tends to be accurate and is unlikely to be the rate the company is using. This arises because companies can capitalise interest in certain circumstances; that is, they can take some of the interest that would normally be an expense and add it to the cost of an asset. Where this occurs, we use indicated lending rates. In all cases you must note where you obtained information from and the date of access as part of your referencing. 

Tasks: 

  1. Calculate the weighted average cost of capital using an appropriate technique. 
  2. Explain your calculations and the judgements you made in arriving at your answer. 
  3. Calculate the gearing ratios and describe any difficulties in doing so. 
  4. Analyse your findings with reference to capital structure theory. 
  5. Provide a recommendation to the Board on the target firm’s current capital structure.
 
Download Sample Now

Earn back the money you have spent on the downloaded sample by uploading a unique assignment/study material/research material you have. After we assess the authenticity of the uploaded content, you will get 100% money back in your wallet within 7 days.

Upload
Unique Document

Document
Under Evaluation

Get Money
into Your Wallet

Total 12 pages

Cite This Work

To export a reference to this article please select a referencing stye below:

My Assignment Help. (2020). CO5109 Corporate Finance. Retrieved from https://myassignmenthelp.com/free-samples/co5109-corporate-finance.

"CO5109 Corporate Finance." My Assignment Help, 2020, https://myassignmenthelp.com/free-samples/co5109-corporate-finance.

My Assignment Help (2020) CO5109 Corporate Finance [Online]. Available from: https://myassignmenthelp.com/free-samples/co5109-corporate-finance
[Accessed 19 August 2022].

My Assignment Help. 'CO5109 Corporate Finance' (My Assignment Help, 2020) <https://myassignmenthelp.com/free-samples/co5109-corporate-finance> accessed 19 August 2022.

My Assignment Help. CO5109 Corporate Finance [Internet]. My Assignment Help. 2020 [cited 19 August 2022]. Available from: https://myassignmenthelp.com/free-samples/co5109-corporate-finance.


We Can Help!

Get top notch assistance from our best tutors !
Excel in your academics & career in one easy click!

icon

Other Samples

Content Removal Request

If you are the original writer of this content and no longer wish to have your work published on Myassignmenthelp.com then please raise the content removal request.

icon

5% Cashback

On APP - grab it while it lasts!

Download app now (or) Scan the QR code

*Offer eligible for first 3 orders ordered through app!

screener
ribbon
callback request mobile
Have any Query?