In weighted average cost of capital, rising in interest rate leads to-

Related MCQs

• Black & White Ltd. Has a cost of equity of 11% and a pre-tax cost of debt of 8.5%. The firm's target Weighted average cost of capital is 9% and its tax rate is 35%. What is the firm's target debt-equity ratio?
• ………. on capital is called cost of capital.
• National Ltd. Has 12,000 equity shares of Rs.100 each. Sale price is equity share Rs.115 per share; flotation cost Rs.5 per share. Expected dividend growth rate is 5% and expected dividend at the end of the financial year is Rs.11 per share, What is the cost of equity shares of National Ltd?
• Use of more debt capital rather than equity capital is called……
• Savings in respect of a cost is treated in capital budgeting as:
• According to …. principle the ideal pattern of capital structure is one that tends to minimize the cost of financing.
• ….principle says that issue of debt and preference shares do not affect the interest of equity share holders.
• Capital rationing is selection of investment proposal under _____.
• Investment in venture capital fund carries _____% risk.
• ABC Ltd. acquires hundred percent of preference share capital of PQR Ltd. It would result in