Hello, I had to compute the cost of capital for a company by using the Weighted Average Cost of Capital formula. Does this solution look right? What does the weighted average cost of capital of 13.84% mean?

Market Value of Equity=584.27b=584270000000 I use Long Term Debt as the Market Value of Debt=75.427b=75427000000 Taxable Income=61.372B Tax rate=35% CAPM (= 1.50, Return on Market= 11%, and Risk Free Rate= 2%) r=rf + (RM -rf )=0.02+1.50(0.11-0.02)= 0.155 Cost of Equity= 0.155 Apple's interest expense was $733m. Total Book Value of Debt is $49878.5m. Cost of Debt = 733 / 49878.5 = 0.0147

WACC = (Market value of equity/Market value of equity+Market value of debt)*Cost of Equity+(Market value of debt/Market value of equity+Market value of debt)*Cost of Debt*(1-Tax Rate)

WACC= (584270000000/(584270000000+75427000000))*0.155+(75427000000/(584270000000+75427000000))*0.0147*(1-0.35)

=(584270000000/659697000000)*0.155+(75427000000/659697000000)*0.0147*0.65=13.84%

Apple Inc's weighted average cost of capital is 13.84%.