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G. AM AERAZIer question will save this response. Qon 14 of Question 16 9 points Zietlow Corporation has 2.1 million shares of common stock outstanding

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G. AM AERAZIer question will save this response. Qon 14 of Question 16 9 points Zietlow Corporation has 2.1 million shares of common stock outstanding with a book value per share of 455 with a recent divided of GS The fem's capital aho includes 2900 shares of 4.2% pred alock outstanding with a par value of 100 and the tems debt include 2620 55 percent quarterly bonds outstanding with 35 years maturty hood five years ago The current trading price of stock and bonds are 106% of its par value and comomon stock trades for 155 with a constant growth rate of 16% The bota of the stock is 1.13 and the market risk premium is 7% Cake geld Weighted Avergae Cost of Capital of the firm assuming a tax rate of 30% (Must show the steps of calculation) For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac) BIVS Paragraph *** Arial V 10pt V EEA 2 I. XQ5 P Moving to another question will save this response. Question 14 of 17 12 15 16 Moving to another question will save this response. estion 16 Question 16 of 17 points Zietlow Corporation has 2.1 million shares of common stock outstanding with a book value per share of 455 with a recent divided of 65. The firm's capital also includes 2900 shares of 42% preemd stock outstanding with a par value of 100 and the firms debt include 2620 55 percent quarterly bonds outstanding with 35 years maturity issued five years ago The cament trading price of the preloned stock and bonds are 106% of its par value and comomon stock trades for 155 with a constant growth rate of 16%. The beta of the stock is 1.13 and the market risk premium is 7% Calculate the tax Weighted Avergae Cost of Capital of the firm assuming a tax rate of 30% (Must show the steps of calculation) For the toolbar, press ALT+F10(PC) or ALT+FN+F10 (Mac) *** V B 1 U S Paragraph M Arial 10pt M EEA 2I XOQ 5 hp

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