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calculate the WACC based on the given information. 11 1 GENERAL INSTRUCTIONS (WACE Computation Question ) USE ONLY THE INFORMATION ON THIS WORKSHEET TAS TO

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calculate the WACC based on the given information.
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11 1 GENERAL INSTRUCTIONS (WACE Computation Question ) USE ONLY THE INFORMATION ON THIS WORKSHEET TAS TO DO YOUR CALCULATIONS Complete the computation below as though you were computing the average WACC for all of the years of the forecast. Assume the proprators and CAPM cost below are correct for the forecast Use the Interest rates, proprio and CAPM Cost of Equity given below. Interest rate for Mortare Loan Interest rate for Extra Bank loan 450N 7.OON 10 WAGE 11 Unlevered Beta for this intern chart 12 11 Average Income Tax Rate of the company Mortage Loan Proportion of the company 15 Extra Bank Loan Proportion of the company 16 Equity Proportion of the 17 Relevered Bettbewed by the company 18 55PS Return 19 10 yer Trey Retur 20 21 CAPM Coffor the company WACC for the 21 2000W 15.00 25.00% 60.00 ES 2.50% 5.SON D C 1 GENERAL INSTRUCTIONS (WACC Computation Question 8): 2 USE ONLY THE INFORMATION ON THIS WORKSHEET TAB TO DO YOUR CALCULATIONS 3 Complete the computation below as though you were computing the average WACC for all of 4 Use the interest rates, proprotions and CAPM Cost of Equity given below. 5 6 Interest rate for Mortgage Loan 4.50% 7 Interest rate for Extra Bank Loan 7.00% 9 10 WACC 11 Unlevered Beta for this industry (Stern chart) 12 13 Average Income Tax Rate of the company 14 Mortage Loan Proportion of the company 15 Extra Bank Loan Proportion of the company 16 Equity Proportion of the company 17 Relevered Beta to be used by the company 18 S&P 500 Return 19 10-year Treasury Bill Return 20 21 CAPM Cost of Equity for the company 22 WACC for the company 23 20.00% 15.00% 25.00% 60.00% 8.50% 2.50% 9.5096 24

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