How to calculate kdhow to calculate 1+kd^20

A Comprehensive Problem Knight Riders (KR) Ltd. wants to determine their WACC. Their 11% semi-annual bonds (par value $1,000) are selling for $942.65 with 10 years remaining until maturity. KR has 10,000 bonds currently on issue. The preference shares issued at $2.00 per share, pay $0.20 dividends and are currently selling in the market for $1.60. There are 5 million preference shares outstanding. The firm also has 5 million ordinary shares on issue which have a current market price of $5.00 each. Assume that the current risk-free rate is 7% and the return on market portfolio is 12%. KR has a beta which has been recently estimated at 1.2. The tax rate is 30%. Calculate KR's weighted average cost of capital. Capital Value Cost Debt 942.65 10,000 Kd after Preference Share 1.6*5,000,000 ko? Common Share 5-5,000,000 WACC=? Total Solution to Comprehensive Problem: Cost of Debt, Equity and Preference Shares 1. Cost of Debt | EV ka)" ](1+ka)" 1000 942.65 = E, L' (1+ka)" ]* (1 + kg)" => k, = 0.06 or 6.00% per 6 months. Recall this is the cost of bonds (YTM) before taxi