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

MCQOPTIONS

1.	In weighted average cost of capital, rising in interest rate leads to-
A.	increase in cost of debt
B.	increase the capital structure
C.	decrease in cost of debt
D.	decrease the capital structure
Answer» B. increase the capital structure

Discussion

No Comment Found

Related MCQs

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?
…… increases the number of shares without actually increasing the paid - up value of the share capital.
…... shares are issued free of cost
Basic lease period refers to the period during which lease is irrevocable.
Which of the following is a post offer take- over defence?
How do we calculate economic value added (EVA)?
Which among the following method is based on time value of money?
……..is a long term lease and the lessee will be paying much more than the cost of the property orequipment to the lessor in the form of lease charges.
Retained earnings is…….
MVA stands for