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| Teaching Since: | May 2017 |
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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
Edwards Construction currently has debt outstanding with a market value of $430,000 and a cost of 6 percent The company has an EBIT of $25, 800 that is expected to continue in perpetuity. Assume there are no taxes. What is the value of the company's equity and the debt-to-value ratio? (Do not round intermediate calculations. Round your equity value to 2 decimal places (e.g.. 32.16). and round your debt-to-value answer to 3 decimal places (e.g.. 32.161).) Assume that the company's growth rate is 4 percent. What is the value of the company's equity and the debt-to-value ratio now? (Do not round intermediate calculations. Round your equity value to 2 decimal places (e.g.. 32.16). and round your debt-to-value answer to 3 decimal places (e.g.. 32.161).) Assume that the company's growth rate is 5 percent. What is the value of the company's equity and the debt-to-value ratio now? (Do not round intermediate calculations. Round your equity value to 2 decimal places (e.g.. 32.16). and round your debt-to-value answer to 3 decimal places (e.g.. 32.161).)
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