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4) find the weighted average cost of capital for the DEF Corp. if its tax rate is 40% and it has the following associated data:

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4) find the weighted average cost of capital for the DEF Corp. if its tax rate is 40% and it has the following associated data: Balance Sheet Cash 600 AR 250 Inventory 600 PE 2500 Bank Notes Long term bonds 400 2000 Equity 1550 3950 TL + N Total Assets 3950 In addition the pre-tax cost of bonds is 6%, the stock sells for $41/share and the current dividend is $2.71. The dividends are growing at a rate of 10 %

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