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1. If Bata has debt of 420 million taka for which it pays 8% interest and 680 million of equity for which it pays 16%.

1. If Bata has debt of 420 million taka for which it pays 8% interest and 680 million of equity for which it pays 16%. Bata also pays 30% corporate tax. What is the weighted average cost of Bata's capital? 2. If you buy a machine for 250000 taka which will bring 150000 taka in year one and 100000 taka in year two. It has a salvage value of 120000 taka. Find IRR and PI.

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