Dhcoveries Compary has just paid $1.2 dividend payment and they promise to increase dividend payments by 3%. The current stock price 15518 and has 500.000 outstandingshores. Calculate cost of culty based on DGM The company has a beta of 0.8 and market risk premium is 4.5. Risk free rate is 2. Calculate cost of equity, based on SML. Discoveriti has only one band outstanding with a maturity period of 15 years. The bond makes semiannual coupon payments and the coupon rate is 192 The willing price of the bond is $1,067 ed acel $1,000. The tax rate is 21% and the company has 2,500 bonds outstanding. Calculate before and after-tax cost of debt. Calculate WACC using SM approach to calculate Cost of Equity Calculate WACC using Dividend Growth Model approach to calculate Cost of Equity