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3. Fisher Corp's stock price is $20.00 and there are 1 million shares outstanding. The firm's cost of equity is 12%. The firm also has

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3. Fisher Corp's stock price is $20.00 and there are 1 million shares outstanding. The firm's cost of equity is 12%. The firm also has $15 million in outstanding debt at an interest rate of 8%. The firm faces a 40% tax rate. a. Estimate the firm's weighted average cost of capital (WACC). b. Show and explain how the weighted average cost of capital affects the value of the firm

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