Theory (Week 5) Flashcards

1
Q

When may the cost of equity change?

A

If the share price changes.

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2
Q

What 2 values would may change for preference share calculation?

A
  • Share Price
  • Cost of preference share
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3
Q

Which of the following values may change for the irredeemable bond calculation?

A
  • MV per bond
  • Corporation tax rate
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4
Q

What value changes for the redeemable bond calculation?

A
  • Market value per bond
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5
Q
A
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