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From the figures mentioned below of Umbrella Corp, calculate the Weighted Average Cost of Capital (WACC). Interest expenses $443 million Corporate tax rate 30% Default
From the figures mentioned below of Umbrella Corp, calculate the Weighted Average Cost of Capital (WACC).
Interest expenses | $443 million |
Corporate tax rate | 30% |
Default spread | 1.56% |
Market Value of short term debt | $885 million |
Market Value of long term debt | $9,552 million |
Market value of operating liabilities | $1200 million |
Total asset of firm | $18,349 million |
Systematic risk | 0.79 |
Market value of equity | $21,129 million |
Risk free rate | 1.7% |
Market risk premium | 4.72% |
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