Answer this is the case On Ivey Publishing of one student Estimating Walmart's Cost of Capital

Please show your calculations. Reference the numbers you use to the case and

5. How should Dale and Lee estimate the cost of equity?

a. Use dividend discount model to estimate cost of equity. Calculate growth rate using historical dividend growth rate and ROE*retention rate formula.

b. Use capital asset pricing model to estimate cost of equity.

c. Discuss which model is more appropriate in this case.

6. How should Dale and Lee calculate the weights for debt and equity?

7. Calculate Walmart's cost of capital. Ho