Abc corp needs to raise capital to initiate a new 5 year


ABC Corp needs to raise capital to initiate a new 5 year product expansion with the following parameters: • Initial Cost = $28.5 million • Expected after tax Annual Cash Flow = $8.95 million • Cost of Capital = 15% What is maximum Flotation Cost Percentage that ABC can bear if it intends to initiate the project?

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Financial Management: Abc corp needs to raise capital to initiate a new 5 year
Reference No:- TGS01286061

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