Heavy Industries has no debt, total equity capitalization of $600 million, and an equity beta of 1.2. Included Heavy's assets is $90 milion in cash and risk-free securities. Assume the risk-free rate is 4% and the market risk premium is 6% What is Heavy WACC?

& Heavy nousties has no debt, total equity capitalization of $600 million and an equity beta of 12 Included i Heary's 50 milion in cash and risk tree securtes. Assume the risk tree rate is 4% and the market Tiek premis Ex What is Heary WACC? 1 A B E expected ret (WACC) 45:12*6% 112 1