PPT-Cost of Capital

Professor Laurence Booth CIT Chair in Structured Finance Rotman School of Management University of Toronto Overview Can not mechanically do much in finance Markets constantly changing History constrains reasonable values. Financing a Firm with Equity. You are considering an investment opportunity. . For an initial investment of $800 this year, the project will generate cash flows of either $1400 or $900 next year, depending on whether the economy is strong or weak, respectively. Both scenarios are equally likely.. Presented by Dr. Monika Aggarwal. . Post Graduate Govt. College, CHD. 1. Objectives of the Study. Understand the theories of the . relationship. . between capital structure and the value of the firm. What is VC?. Money provided by investors to startup firms and small businesses with perceived long-term growth potential . No access to Capital Markets. High risk, above average returns. Who?. Wealthy investors . Chapter 8. Determine the relevant cash flows for various types of capital investments. Compute depreciation expense for tax purposes. Incorporate inflation into capital budgeting. Employ the various methods for computing operating cash flow. Farmers . sign a . 9-year lease . with a fixed price purchase . option after 5 or 6 years, and at the end of the lease term. The goal of each project is transfer of the farm to the farmer.. We work with local partners – land trusts, University extension services, technical service providers, agricultural lenders – to position the project for long-term success.. Corporate Finance 36. Capital structure: further considerations. Capital structure in a world with tax. Financial distress. Agency costs. Borrowing capacity. Managerial preferences. Pecking order. Financial slack. . Explain how the three major problem areas in . finance—valuation. , cost of capital, and determining cash . flows—are . related.. 20. .2. . Calculate the weighted average cost of capital . (. Resource 2016. Local Government Corporation. Capital Assets. Certified Continuing Professional Education Class. 2. -hour credit. Must remain for the entirety of the class to receive CPE credit. Must sign in and sign out to receive CPE credit. 1. Global Cost and Availability of Capital. How a firm headquartered in a country with an illiquid and segmented capital market achieves a lower global cost and greater availability of capital. Analyze the linkage between cost and availability of capital. Sections. Cost of capital. Segmentation vs. integration. Differential costs of capital. Cross-border share listing . Foreign equity ownership restrictions. Subsidiaries’ capital structure. Cost of capital. FY 2011-12. Current Financial Position. Current Operations. Service Statistics/Trends. Funding Statistics/Trends. Other Information/Assumptions. Capital Status Review. CAPITAL AREA TRANSIT. Transit Agency Status. Chapter 18. outline. T. arget . leverage ratio. Southwest:. Fixed . versus Random levels of Debt. The WACC method. Avco. Industries. Project valuation using WACC . The . WACC/APV . link. Project . based . ELIXIR CAPITAL LIMITED Formerly AXIS CAPITAL MARKETS INDIA LIMITEDPART I All Rs In lakhs except EPS 3 months 3 months 3 months 6 months 6 months 12 months 3 months 3 months 3 months 6 months 6 months Capital v Resource and the Creation of Fixed Assets. Capital Management Team. STFC Finance. September 2018. Capital Management . - Team. Team Lead. Chris Biswell. Victoria Fairburn. Joe Moxon. Jeffrey Brown.