Assume that your client, Denske Inc, provided you with the following information: D1 = $1.14; P0 = $24.50; and g = 1.50% (constant). What is the cost of equity based on the DDM approach? Several years ago the company Starecords sold a $1,000 par value, noncallable bond that now has 20 years to maturity and a 6.30% annual coupon that is paid annually. The bond currently sells for $822, and the company's tax rate is 21%. What is the component cost of debt (net) for use in the WACC calculation? eeserw |:| You were hired as a consultant to Okland Company, whose target capital structure is 75% debt, and 25% common equity. The interest rate on new debt is 4.10%, the cost of retained earnings is 10.30%, and the tax rate is 39% The rm will not be issuing any new stock. What is Okland's WACC? answer |:|