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1) 13 Points total The market value of Charcoal Corporation's common stock is $20 million, and the market value of its risk-free debt is $5

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1) 13 Points total The market value of Charcoal Corporation's common stock is $20 million, and the market value of its risk-free debt is $5 million (this is the only debt that the company has). The beta of the company's common stock is 1.25, and the market risk prentium is 8 percent. If the Treasury bill rate is 5 percent and the corporate tax rate is 20%. what is the company's weighted average cost of capital

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