c

The next 2 questions are based on the following information: BHP is a MNC with a corporate-wide long-term debt to equity ratio of 0.75. BHP prefers to issue corporate bonds at a post-tax cost of 4.55%, and a cost of common equity capital of 13.08%. Suppose that the marginal tax rate is 10%. The MNC is interested in pursuing an offshore mining project. The debt capacity of the offshore project is 35% and the required return on equity is 9 stemming from a levered beta of 0.2692 What is the weighted average cost of capital (WACC) of the project? Od 7.4425% b. 7.2833% OC 94243% Od 9.2293% O e None of the options in this question are correct, What is the unlevered beta of the project? 0.18135 b. 0.07539 OC 0.16074 d 0.12238 Oe. None of the options in this question are correct