Saint Leo Manufacturing is going to introduce a new product line and to accomplish this | ||||||||||||||
it has four projects analyzed in which it wants to invest a total of $100 million. Your job is to | ||||||||||||||
find what it will cost to raise this amount of capital and based on the cost of capital determine which of the | ||||||||||||||
projects should be accepted by the firm to invest in.
a. What is the current Kd, Kp and Ke assuming no new debt or stock? And what
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