FIN650GCWEEK 6 EXAM 2 LATEST Downloading is very simple, You can Download this Course here: http://wiseamerican.us/product/fin-650-gc-week-6-exam-2-latest/ Or Contact us at: SUPPORT@WISEAMERICAN.US FIN650GC Week 6 Exam 2 Latest FIN650FIN650GC Week 6 Exam 2 Latest Question 1. Your consultant firm has been hired by Eco Brothers Inc. to help them estimate the cost of common equity. The yield on the firm’s bonds is 8.75%, and your firm’s economists believe that the cost of common can be estimated using a risk premium of 3.85% over a firm’s own cost of debt. What is an estimate of the firm’s cost of common from reinvested earnings? 12.60% 13.10% 13.63% 14.17% 14.74% Question 2. Which of the following statements best describes the optimal capital structure? The optimal capital structure is the mix of debt, equity, and preferred stock that maximizes the company’s ____. stock price cost of equity cost of debt earnings per share (EPS) preferred stock.