9. Company X's shares has a beta of 1.5 associated with it, while Company Y's shares has a beta of 1.5 associated with it. Which cne of the following statements is true? 1. Company X carries more risk. 2. Company Y carries more risk. 3. Combining the shares in a portfolio can diversify risk for the holder. 4. Compared to the market, company X 's sharos move less than the market. 5. Compared to the market, company \( Y^{\prime} ' s \) shares move in line with the market. 10. Company Z has a beta of 1.5 associated with its shares, the risk-free rate is 8% and the market relum is 14%. What is the cost of equity for company Z ? 1. 12% 2. 17% 3. 21% 4. 22% 5. 26% 11. West Ld has a target capital structure of 40% debt and 60% equily. The company recently issued bonds with an YTM of 14% and its shares have a beta of 1.5 associated with it. The rlsk-free rate is 15%, the 60 UNISA 77023/103/0/2022 market risk premium (market roturn minus the risk-free rate) is 6% and the tax rate is 28%. What is the WACC for the company? 1. 4.03% 2. 14.43% 3. 35.00% 4. 24.00% 5. 18.43%