1. Calculate WACC given the following information. Total Value of Common Stocks (CS) $800,000 Cost of Equity (common stocks) 0.17 Total Value of Preferred Stocks (PS) $100,000 Cost of Preferred stock 0.14 Total Value of Debt (D) $500,000 Pre-tax Cost of Debt 0.06 Tax rate (t) 0.4

2. Calculate WACC given the following information. Total Value of Common Stocks (CS) $700,000 Cost of Equity (common stocks) 0.16 Total Value of Preferred Stocks (PS) $200,000 Cost of Preferred stock 0.14 Total Value of Debt (D) $400,000 Pre-tax Cost of Debt 0.08 Tax rate (t) 0.3