1.What is the estimated cost of equity (using the CAPM) for a company that has a beta of 0.5. The yield on the 10-year T-bond is currently 3% and the market risk premium is 5%

2.Calculate the cost of preferred stock given the following information: par value = $100; 5% dividend rate. Flotation costs are zero. The price per share of preferred stock is $60.

3.A company is expected to issue new 15-year debt with a par value of $1,000 and a coupon rate of 8%, paid annually. The issue price will be $1000. The tax rate is 25%. What is the after-tax cost of debt?

4.A company has a target capital structure of 30% debt and 70% equity. The yield to maturity on the companys outstanding bonds is 6%, and the companys tax rate is 25%. The cost of equity is 10%. What is the companys WACC?