FIN3701 ASSIGNMENT 02
SEMESTER 02 2023
ANSWERS TO ASSIGNMENT 02 QUESTIONS
QUESTION 1
1.1 Calculate the WACC associated with each range of financing/breakpoint.
Cost of new issue of equity
R10 x (1.03) + 0.03 = 14.80%
R87.30
SEMESTER 02 2023
ANSWERS TO ASSIGNMENT 02 QUESTIONS
QUESTION 1
1.1 Calculate the WACC associated with each range of financing/breakpoint.
Cost of new issue of equity
R10 x (1.03) + 0.03 = 14.80%
R87.30