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Consider the following financial data. US 10-Year T-Bond Yield = 2.45% Market Risk Premium = 6.25% Tax Rate = 21% Also the following data for

Consider the following financial data.

US 10-Year T-Bond Yield = 2.45%

Market Risk Premium = 6.25%

Tax Rate = 21%

Also the following data for Ford Motor Company:

Stock Price = $10.38

Market Cap = $41.412B

Beta = .91

Moodys = A1 (115 basis points)

Total Debt = $157.16B

Number of Shares Outstanding = 3.92 B

Diluted EPS = $.92

Return on Assets = 1.02%

Total Debt/Equity (Book Value) = 429.76

Book Value/share = $9.12 Revenues = $158.72B

Calculate the Cost of Capital for Ford Motor Company. Using the Ford Motor Company financial profile information (refer to question above) calculate the MVA for Ford

7.19%

7.88%

3.95%

3.60%

10.57%

Using the Ford Motor Company financial profile information (refer to question above) calculate the MVA for Ford

$87.94B

$75.02.B

$4.94B

$12.68B

$111.61 B

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