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Estimate WACC, the tax rate is 20%. Question 15. The default rate of HTS's new customers has been running at 10%. The average sale for

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Estimate WACC, the tax rate is 20%. Question 15. The default rate of HTS's new customers has been running at 10%. The average sale for each new customer amounts to $700, generating a profit of $80 and a 35% chance of a repeated order next year. The default rate on repeated order is only 1.5%, If the interest rate is 8%, what is the expected profit from each new customer? Question 16

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