1. What is Garmin's cost of capital as the summer of 2019 approaches?

2. Calculate the missing numbers in the first panel (Scenario 1) of Exhibit 2. This includes the levered betas, cost of equity, and cost of capital at each debt ratio. What are the takeaways?

It would be helpful if you could provide the answer in excel, so I can see how it is being calculated. If not, please just show your math so that I understand.

Exhibit 1 Balance Sheet and Income Statement (Thousands of \$) Source: Garmin, "2018 Annual Report," Garmin, last modified December 31, 2018, https://www8.garmin.com/aboutGarmin/invRelations/reports/2018 Annual Report.pdf Exhibit 2 Capital Structure Optimization - Three Scenarios "Debt ratio" is long-term debt divided by the sum of long-term debt and equity. Exhibit 1 Balance Sheet and Income Statement (Thousands of \$) Source: Garmin, "2018 Annual Report," Garmin, last modified December 31, 2018, https://www8.garmin.com/aboutGarmin/invRelations/reports/2018 Annual Report.pdf Exhibit 2 Capital Structure Optimization - Three Scenarios "Debt ratio" is long-term debt divided by the sum of long-term debt and equity