1) Calculate the WACC for M/s Antara Limited with the following information

Capital Structure BV Share Capital 50,00,000 Retained Earnings. 2,50,000 Debentures 15,00,000 Bank Loan 2,00,000

Share price of M/s Antara Limited at the beginning of the year was Rs. 50 and end of the year was Rs. 55 per share. Dividend declared was Rs. 5. Beta of the Company was pegged at 0.6. M/s Antara had floated its Debentures at 8% fixed interest for 5 years. The bank had extended a loan on floating rate basis. Interest paid during the year was Rs. 10000. Government securities are earning a return of 4% currently

Subject (corporate finance) 10marks