Question
Estimating Cost of Debt - Company FORD MOTOR Most recently issued bond data, or bond with longest maturity Source: FINRA-Morningstar Maturity30years Coupon rate9% Face Value
Estimating Cost of Debt - Company FORD MOTOR
Most recently issued bond data, or bond with longest maturity
Source: FINRA-Morningstar
Maturity30years
Coupon rate9%
Face Value $500,000.00
Price $97.60
Payments2per year
Number of payments60
PV$(97.60)
Payment?
Future Value$500,000.00
Per period rate?
Cost of debt (annual)?
Need help finding the PAYMENT, PER PERIOD RATE, AND COST OF DEBT?
ItemSource Value
Value of DebtSEC $148,629 (THIS MAY BE WRONG)
Market CapYahoo $42,634 (THIS MAY BE WRONG)
Tax rateIRS35.00% (assume tax rate is 35%)
WACC30.27% (Seems too high currently their WACC is 2.35) What am I missing? This is data for Ford motor
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