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Add the financing component (calculation of WACC) for the model. Instead of the model simply having an input that is the value of r, users
Add the financing component (calculation of WACC) for the model. Instead of the model simply having an input that is the value of "r," users should input information about the capital structure of the firm, the cost of debt, the cost of equity for the firm, the weight of each, and WACC should be calculated and used in the calculations of the model. Use the following data below for the WACC calculation. Be sure to show all formulas in your response.
Cost of Equity | 13% |
Cost of Debt | 8.5% |
Weight of Equity | 50% |
Weight of Debt | 50% |
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