1. Finding the WACC Given the following information for Cleen Power Co., find the WACC. Assume the companys tax rate is 35 percent.

Debt:	7,000 6 percent coupon bonds outstanding, $1,000 par value, 20 years to maturity, selling for 105 percent of par; the bonds make semiannual payments.
Common stock:	180,000 shares outstanding, selling for $58 per share; the beta is 1.10.
Market:	6.5 percent market risk premium and 4.3 percent risk-free rate.