DATA ANALYSIS

Working and calculations :

1. Cost of Equity (Ke) = Dividend +Growth Rate
(Market Price- Floatation cost)

2. Market Price = Share holders Fund
No. of Shares

3. Dividend = Amount available for dividend
No. of Shares

4. Floatation cost = Issue of Expenses
No. of Shares

5. Growth rate = Current year sales – previous year sales x 100
Previous year sales

6. Cost of debts (Kd) = Interest (1-tax) + Redeemable value- Net proceed
No. of years
(Redeemable value + Net proceed )
2
7. Weighted Average cost of capital = Products x 100
Amount

8. Economic Value Added = Net operating profit after tax – (Capital x Weighted
Average cost of capital)

9. Reserve and surplus = Interest (1- tax) (1-Before tax) Market price