Answer these questions for the company Visa (stock symbol: V)
Assigned Questions:
Weighted Average Cost of Capital
What is the WACC for the company that you selected to study during the class? Make sure that the analysis carefully explains the cost of each of the components of the capital structure. Why is a determination of the debt component a problematic area for bank cost of capital? What is a recommended workaround for determining cost of debt?
Beta
What is the Beta of the stock for the company that you selected to study during the class?
Managing Earnings
Does the firm that you selected to study during the class appear to manage earnings (i.e., attempt to smooth earnings)? What evidence can you offer to support the conclusion based on your reading of the relevant textbook chapters and the articles provided in Learning Materials.
