13. GW Inc 1s privately held, but wants to raise considerable capital on the equities markets. How could an investment bank help GW Inc raise this capital? Explain the relevant function of the Investment bank and the tvpe of deal that they would most likely pursue. 14. You bought a FINA Inc bond with a face value of $10,000 and a coupon rate of 3% annually. You paid $9.500 for the bond. What 1s your effective yield on the bond today? 15. IWI also wants to raise money on the equities markets, but they are publicly traded and already have their shares listed on the NASDAQ. How might they 1ssue new shares and what would happen to current shareholders? What 1s this process called? 16. You are facing a backlog of widget orders and need to ship more widgets to your customers. You plan to lease a truck to make widget deliveries. The truck has an initial value of $38.000 and a projected useful lifespan of 10 years. You plan to lease i1t for 4 months, at a monthlv rental rate of $1600 per month. Your WACC 1s 3.9% APR. What 1s that lease worth today (NPV)? Remember to convert the APR to a monthly rate. 17. Instead of leasing the truck for 4 months, suppose vou decided to lease 1t for years? Assume an annual rental fee of $8.000 per vear. Use the same WACC as 1n Question 16. At the end of the lease, you have the option to buy the truck for $2000. Assuming yvou do not buy the truck at the end of the lease, what 1s the NPV of this lease? How would the lease be reflected on vour balance sheet