B D E F G H | J K L M N P A C Sapp Trucking's balance sheet shows a total of noncallable long-term debt (par value of $1,000) with an annual coupon rate of 7.00% (semiannual payment) and a price of $975 with a maturity of 15 years left. There is no preferred stocks. There are 200,000 corporate bonds. The balance sheet also shows that the company has 5 million shares of common stocks. The current stock price is $22.50 per share; its beta is 1.2 and a risk free rate of 3% and market risk premium is 6%. The firm's tax rate is 21%. The CFO thinks the WACC should be based on market-value weights. Calculate WACC based on market value as the weights. (18 pts) $ bond price = par value= 975.00 1,000.00 $ =D9 maturity (years)= 15 # of bonds outstanding = 200,000 2 payment mode (per year) = stock price = 22.50 beta = 1.2 risk free rate= 3% market risk premium = 6% tax rate= 21% # of shares = 5,000,000 bonds equity WACC= $ Market-value based weight (3 each) cost 4 each 4 each O