FINC6001 Summer School Practical Assignment Questions
- In what ways can Susan help CPK to success?
- Using the information in Exhibit 9:
- How does leverage affect ROE?
- b. How does leverage affect the cost of capital?
- Using the information in Exhibit 9 what is the anticipated share price under each scenario?
- How many shares will be repurchased under each scenario?
- How do the tax effects influence the debt financing decision?
- What capital structure would you recommend to CPK?
