42 28 364 490 Fawaz Abdulaziz Alhokair Company reported the following balance sheet: Cash 14 Accounts payable Receivables 70 Other current liabilities Inventories 280 TotalCL 70 Total CA Long-term debt (20 bonds) 142 Net fixed assets 126 Common equity (100 shares outstanding) 278 Total assets 490 Total llab, and equity 1. The stock is currently selling for SAR 16 per share and there are 100 shares outstanding 2. Its bonds are 9-year bonds with 13% coupon rate paid annually and the face value of SAR 500. They are currenty selling at SAR 610 3. The required rate of return on its common stock is 17%. 4. Assume the firm's tax rate is 40%. a. The before tax cost of debt (rd) is % (use 2 decimals) b. The weights of debt using book value% (use 2 decimals) c. The cost of equity is % (use 2 decimals) d. The WACC using the Book value weights is % (use 2 decimals) 42 28 70 142 Cash 14 Accounts payable Receivables 70 Other current liabilities Inventories 280 Total CL Total CA 364 Long-term debt (20 bonds) Net fixed assets 126 Common equity (100 shares outstanding) 278 Total assets 490 Total liab. and equity 490 1. The stock is currently selling for SAR 16 per share and there are 100 shares outstanding 2. Its bonds are 9-year bonds with 13% coupon rate paid annually and the face value of SAR 500. They are currenty selling at SAR 610 3. The required rate of return on its common stock is 17%. 4. Assume the firm's tax rate is 40%. What is the WACC for AlHokair Company using Book value weights? a. The before tax cost of debt (rd) is % (use 2 decimals) b. The weights of debt using book value % (use 2 decimals) c. The cost of equity is % (use 2 decimals) d. The WACC using the Book value weights is % (use 2 decimals)