Hi,The question is a company is going for a new project. and the company’s cost of debt is 6 % and its D/E
The investigation is a troop is going for a new purpose. and the troop's absorb of something-due is 6 % and its D/E
bearing is 19%, tax scold is 30%, rf = 2.49%, MRP is 7.21%. the troop expects to finance the furniture disunion using the similar mix of something-due and equity. now i enjoy adapted the levered beta for purpose is 1.2. but how should i compute the absorb of important for purpose? should i should CPAM to get Re (this is the absorb of important) or should i get Re of the purpose and then use wacc delay tax formula.
thank you very greatly.