Firm A being a levered one has 10% Rs 4,00,000 debentures. Firm B is an unlevered firm. both firms earn 20% operating profit on their assets valued at Rs 10,00,000. The tax rate is 30% and equity capitalisation rate is 20%. Calculate wacc for the two firms.
Already registered? Login
Not Account? Sign up
Enter your email address to reset your password
Back to Login? Click here