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Extract of balance sheet for LOMO Ltd. as at 30 JUNE 2020: Equity $'000 Issued And Paid-Up Capital 12,600 21m 60c ordinary shares 13.7m $1

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Extract of balance sheet for LOMO Ltd. as at 30 JUNE 2020: Equity $'000 Issued And Paid-Up Capital 12,600 21m 60c ordinary shares 13.7m $1 1.8% preference shares 13,700 8,000 Reserves and Retained Profits Retained profits Share premium reserve General reserve 7,300 4,000 45,600 Debt Mortgage 2,700 3,560 Debentures Bank overdraft 10,432 16,692 You also have the following additional information available to you as of today: The current market price of the firm's ordinary shares is $2.30. The firm's preference shares are currently selling for $1.70 each. The debentures will mature in 5 years. They have a coupon rate of 6% per annum. If the company currently sought long-term finance, it would have to pay interest rates of 8.9% per annum on debentures. The mortgage has 4 years remaining and was taken out at 9.9%. Current rates are 11.5% The firm is currently paying 8% per annum on its bank overdraft loan. Interest on debentures, mortgage and the bank overdraft are paid half-yearly. The corporate tax rate is 33 cents in the dollar. The estimated Beta of the company's ordinary shares is 2.3. The current yield on a 10-year government bond is 4.2% per annum. The expected return on the market portfolio is 11% per annum. Calculate WACC. Display your results in the table below. Show your full working out. Fill in the table below. Component Market Weighting Before-Tax After-Tax Weighted

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