sillk
Feb 20, 2009, 09:26 PM
I'm trying to calculate the weighted average cost of capital to the table below;
Assets $100
Debt $10
Equity $90
Debt/assets after tax cost of debt cost of equity cost of capital
0% 8% 12%
10% 8 12
20% 8 12
30% 8 13
40% 9 14
50% 10 15
60% 12 16
Assets $100
Debt $10
Equity $90
Debt/assets after tax cost of debt cost of equity cost of capital
0% 8% 12%
10% 8 12
20% 8 12
30% 8 13
40% 9 14
50% 10 15
60% 12 16