Templeton extended care facilities, inc is considering the

Templeton Extended care facilities, inc is considering the acquisition of a chain of cemeteries of $450 million. Since the primary asset of this business is real estate, templeton’s management has determined that they will be able to borrow the majority of the money needed to buy the business. The current owners have no debt financing but templeton plans to borrow $330 million and invest only $120 million in equity in the acquisition. What weights should templeton use in computing the WACC for this acquisition?

Don't use plagiarized sources. Get Your Custom Essay on
Templeton extended care facilities, inc is considering the
Just from $13/Page
Order Essay
Calculator

Calculate the price of your paper

Total price:$26
Our features

We've got everything to become your favourite writing service

Need a better grade?
We've got you covered.

Order your paper