Question
For the 3rd assignment, you will need to calculate the weighted average cost of capital (WACC) for a public firm. You must select a publicly
For the 3rd assignment, you will need to calculate the weighted average cost of capital (WACC) for a public firm. You must select a publicly traded firm that is listed on either the NYSE or Nasdaq as of Oct 31, 2022. Make sure you include two capital components in the calculation - debt and common stock. You will receive a bonus if you additional include preferred stock. To calculate beta, you will need to download the daily stock price information over Nov 1, 2020 - Oct 31, 2022, from Yahoo Finance. To obtain the market value of equity and debt, cost of debt, and tax rate, you will need to use the most recent annual report. You need to obtain the most recent euqity market risk premium at stern.nyu.comLinks to an external site., and the risk-free rate at Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity, Quoted on an Investment Basis (DGS10) | FRED | St. Louis Fed (stlouisfed.org)Links to an external site.. You can follow the steps from Weighted Average Cost of Capital (WACC) - Formula, Calculations (wallstreetmojo.com).Links to an external site. Other submission requirements; 1. Your submission must contain two files: a word document that describes the steps of your analysis, and an excel document that contains the raw data you use; 2. This assignment can be done as a group or individual; individual submissions will receive a bonus of 5 points. In group submissions, you MUST list all group members on the first page. 3. List all the sources where you obtain data and articles that you cite.
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