t 23 TMP C - - of Question 6 - Part A slgJta Ltd. is an Australian retailing company. Currently, ugJtaLtd_ only operates in Australia. The Balance Sheet and Income Statement for Ltd are given below. Ltd. Balance Sheet as at 30 June, 2015 123 TMP C - Tzk - ot Ltd. Income Statement for the Year Ended 30 June 2015 Current Assets Cash Accounts Receivable Inventory Non-Current Assets Plant and equipment Land and Buildinq Goodwill Total Assets Current Liabilities Accounts Payable P.r.uyn for Lonq Setvice Leave Non-Current Liabilities Debentures Mortqaqe loan Total Liabilities Net Assets Equity Share Capital: ordinary' shares issued at $1.00 Retained earninqs Total Equity Additional information Current share price is $1.55 $ 'ODD 950 1100 140 550 $ '000 250 2190 365 1135 $1305 1150 155 51305 Total Sales Less cost of goods sold Openinq Inventor,' Purchases Goods available for sale Less closinq Inventory' Gross Profit Less operatinq expenses Depreciation Interest Rent Waqes Advertisinq/marketinq Other Total Expenses Net Profit before tax Net Profit After Tax $ 'ODD 1620 1840 110 $ '000 2310 1720 105 . Calculate the WACC of Jgl_ta Inc using the above information. Assume a company tax rate of 30%. Explain why financial managers of should be aware of the WACC and how this 2. information can be used to analyse business performance and manage risk. Note: All calculations should be made to at least three decimal places in pans a) and e) above. Most recent dividend was $0.05 per share. Dividends are expected to grow by 7% per year. 550 Debentures were issued with a face value of $1,000 trading at par value of 8.5%. The Market Price of the Debentures is $950. The mortgage loan is currently at a variable rate of 8.9%.