Description
An excel spreadsheet showing the workings of Texas High Speed Rail Corporation.
Total Amount Percent of total Capital Type of Capital contributed tax exempt debt taxable debt equity Founders' Vanture Construction 1900 3400 60 105 1500 6965 27.28 48.82 0.00 0.86 1.51 21.54 100 23.91 4.18 18.72
Pre tax cost 8.75 10.5 30 22.5 18
38% after tax cost 5.425 6.51
E/V V/E Weighted Avg Re Comparable asset betas Greyhound Bus Lines Southwest Airlines Conrail Avg Asset Beta
0.70 1.14 0.90 0.91
WACC computed using Re from comparable firms beta equity Beta asset V/E Beta equity Re V/E * Asset beta 0.91 4.18 3.8038 Rf Rm-Rf Re Assume Beta debt =0
8.60 7.50 ASSUMED 37.13 8.88 4.66 13.53
Equity contribution to WACC Debt contribution to WACC WACC
WACC contribution 1.48 3.18 0.00 0.26 0.34 3.88 9.13
doc_963650332.xls
An excel spreadsheet showing the workings of Texas High Speed Rail Corporation.
Total Amount Percent of total Capital Type of Capital contributed tax exempt debt taxable debt equity Founders' Vanture Construction 1900 3400 60 105 1500 6965 27.28 48.82 0.00 0.86 1.51 21.54 100 23.91 4.18 18.72
Pre tax cost 8.75 10.5 30 22.5 18
38% after tax cost 5.425 6.51
E/V V/E Weighted Avg Re Comparable asset betas Greyhound Bus Lines Southwest Airlines Conrail Avg Asset Beta
0.70 1.14 0.90 0.91
WACC computed using Re from comparable firms beta equity Beta asset V/E Beta equity Re V/E * Asset beta 0.91 4.18 3.8038 Rf Rm-Rf Re Assume Beta debt =0
8.60 7.50 ASSUMED 37.13 8.88 4.66 13.53
Equity contribution to WACC Debt contribution to WACC WACC
WACC contribution 1.48 3.18 0.00 0.26 0.34 3.88 9.13
doc_963650332.xls