The financial manager of XYZ Ltd had two
options to raise a capital of 80 Lacs
Case 1: issue 8 lakh equity @Rs. 10 each
Case 2: Issue 6 lakh shares @Rs.10/- and 20 lakh through 20%
debentures
The company is expecting a return of 20% on the capital
employed. The rate of tax is 30%.
Which option is better in terms of EPS.
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I had already answered this question before but I guess it got removed so here you go again...
Also please mark as the brainliest
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