Assuming that a firm pays tax at a 50 per cent rate,
compute the after tax cost of capital in the following
cases:

I. A 8.5 % preference share sold at par.

II. A perpetual bond sold at par, coupon rate of
interest being 7 per cent

III. A ten year, 8 percent, Rs.1000 par bond sold at
Rs.950 less 4 percent underwriting commission.


No Answer is Posted For this Question
Be the First to Post Answer

Post New Answer

More Accounting General Interview Questions

Tell us what inspired you to move to the next opportunity?

0 Answers  


what is the journal for bank charges? Give me sms on this no. 9885789716

1 Answers  


1- Can ledger make without journal?

1 Answers  


HOW THE BACKUP TALLY DATA & HOW IT WILL B SHOW IN MY CMPUTER AGAIN.

2 Answers  


Define tally accounting

0 Answers  






how to account salary advanced from petty cash

1 Answers  


journal entry of outstanding

7 Answers  


what is t code of all expences general legder?

0 Answers  


How to make payment for single invoice and multiple invoices

0 Answers   Accenture,


what is difference between company and firm

1 Answers  


Accounting golden rules?

3 Answers   ACS,


What is Share Premium?

7 Answers   Capital IQ,


Categories