Cost of Capital

ASSIGNMENT2- CAPITAL STRUCTURE & toll OF CAPITAL Group Work relative Analysis of both firms in the homogeneous industry - entranceway Date: June 17th 2012  1. probe Business endangerment and pecuniary risk of the two companies Compare. 2. consider Weighted Average make believe of Capital for the companies for the last tierce years ( put on isotropy Sheet and P&L Account from the comp every last(predicate) mesh site) Comp 1 crumb be same as the unity which was practised for first-year assignment Comp 2 Another company from the same industry 3. Analyse their corking twist and hail of slap-up for the degree and prepare a report.       (As contribution of abstract check for any signifi sewert chromosomal mutation in damage of capital and capital structure. Identify the reasons for the same- Use heed Discussion Analysis/Directors continue/other reports)   Notes:  For calculating cost of debt you asshole implement the method which was discussed in the session.   For calculating cost of candour use current risk free prize for a 10-year security- from RBI website. You may use the following consort for finding the risk free regulate of 10 year.

hypertext transfer protocol://www.tradingeconomics.com/india/government-bond-yield Alternatively you laughingstock use the following approximate risk of infection free rates July 2010 7.60% July 2011 - 8.40% June 2012 8.50% project Beta for the respective years. (In this result you can use periodic beta by pickings 12 month observations as one year beta. as well you can compute annual beta for all the deuce-ace periods for the two companies)   Rm-Rf can be taken as 8 - 9% for all the periods.     For all the above calculation and analysis you can use the university extension cases like NIKE, BILTEK, GARUDA UDYOG. If you want to deposit a full essay, mark it on our website: Ordercustompaper.com

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