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Ewha Group has 1 2 0 0 0 0 0 0 0 bonds outstanding that are selling at a par bond. With similar credit risk,

Ewha Group has 120000000bonds outstanding that are selling at a par bond. With similar credit risk, kids are yielding 10%. The company also has 2,000000shares of preferred stock, which pays dividend of 9 every year, and 1,945960shares of common stock outstanding. The preferred stock sells for 60 a share. The common stock has a beta of 1.5 and sells for 50 a share. The risk free rate is 2.2%, and the return on market is 11.2%. The corporate tax rate is 40%. What is the price weighted of override cost of capital?

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