A. | Share Capital + Reserves + Long-Term Debts |
B. | Share Capital + Long and Short-Term Debts |
C. | Share Capital + Long-Term Debts |
D. | Equity and Preference Share Capital |
Option: A Explanation : Click on Discuss to view users comments. |
A company has issued 10 percent perpetual debt of ₹ 1 lac at 5 percent premium. If tax rate is 30 percent, then the cost of debt will be :
A. | 10 percent |
B. | 15 percent |
C. | 6.66 percent |
D. | 8.21 percent |
Option: C Explanation : Click on Discuss to view users comments. |
"Dividend is not relevant in determining the value of the company". Who among the following held this opinion?
A. | J.E. Walter |
B. | Ezra Soloman |
C. | Modigliani-Miller |
D. | M.J. Gordon |
Option: C Explanation : Click on Discuss to view users comments. |