Assume the corporate tax view of capital structure. Your unleveraged cost of capital is 13%. Your corporate tax rate is 30%. Your firm proposes to borrow $800 and its leveraged firm value is $1,600. What is your cost of capital under the proposed leveraging

11.05%

Explanation:

Use the following formula to calculate the cost of capital under the proposed leveraging

Cost of capital = ( Debt /Firm value ) x ( ( Unlevered cost of capital x ( 2 - tax rate ) )

Where

Debt = $800

Firm Value = $1,600

Unlevered cost of capital = 13%

Tax Rate = 30%

Placing values in the fromula

Cost of capital = ( $800 / $1,600 ) x ( ( 13% x ( 2 - 30% ) )

Cost of capital = 0.50 x ( 0.13 x 1.70 )

Cost of capital = 0.50 x 0.221

Cost of capital = 0.1105

Cost of capital = 11.05%

b. a single paragraph.

a paragraph is a series of sentences that are organized and make sense, and are all related to a single topic . almost every piece of writing you do that is longer than a few sentences should be organized into paragraphs. this is because paragraphs show a reader where the subdivisions of an essay begin and end, and thus the reader see the organization of the essay into subjects in order to be able to understand its main points.

it's d. out with the planting and harvest of the crops.