1 [Cost of Equity Capital] Use the following information to estimate the rate of return expected by the VentureBanc Investors: image.png VentureBanc uses a systematic risk measure of 2.0. Based on the information shown, estimate VentureBancs investment risk premium. Then, estimate the cost of equity capital for VentureBanc. Determine the rate components and their returns that a venture investor like VentureBanc would require to be covered beyond a traditional cost-of-equity estimate. What overall venture investment discount rate would be used by the VentureBanc? Question 2 [Weighted Average Cost of Capital] Voice River, Inc. is interested in estimating its weighted average cost of capital (WACC) now that it is in its rapid growth stage. Voice River has a $500,000, 10 percent interest, short-term bank loan, a $1.5 million, 12 percent long-term debt issue, and 42 million in common equity. The venture is in a 35 percent income tax bracket. Determine the after-tax costs of the bank loan and the long-term debt issue. Calculate the WACC for Voice River, Inc., assuming the cost of common equity capital is 22%