I dont think long term bond duration is given

SMITH PRODUCTS: Capital Allocation / Structure Used to Calculate the WACC (Dollars in Millions) Assets and Claims Against Assets at Book Value on 12/31/16 Assets Claims Answers Here Book Value Market Value (1) (2) $ Cash Receivables Inventories Total C.A. 10 375 615 1,000 $ Net fixed assets $ 1,000 Accounts payable $ 60 Accruals 140 Spontaneous debt $ 200 Notes payable 110 Total C.L. $ 310 Long-term debt 750 Total liabilities $ 1,060 Preferred stock Common stock 130 Retained earnings 810 Total common equity $ 940 Total claims $ 2,000 3.0% 7.0% 10.0% 5.5% 15.5% 37.5% 53.0% 0.0% 6.5% 40.5% 47.0% 100.0% Total assets $ 2,000 Notes: Recently the companys stock has been selling at $23.06 / per share The company has 50 million shares outstanding Beta for this company is 1.15 Notes Payable has a nominal interest rate of 6.5% - interest is paid monthly DJIA is on track to produced an annual return of 11.35% this year S&P 500 produced an annual retum of 7.75% last year Long term debt are bonds selling at a discount to par. Coupon is paid semi-annually at $30 each payment The bonds have a YTC of 8.4% and a YTM of 7.4% Federal Reserve has a GDP forecast of 2.1% growth for this year Federal Tax rate is 40% 2 year Govt Bonds have a yield of 3.5% T-Bills have a yield of 2.75% and are selling at a discount Common Stock paid a dividend of $1.75 and has a expected growth rate of 5% PROBLEM 1) Calculate and show the various components of capital deployed by the company Show Book Value & Market Values of the capital components - Wd/Wp/Ws or We 2) Calculate the company's WACC Show your calculations and work SMITH PRODUCTS: Capital Allocation / Structure Used to Calculate the WACC (Dollars in Millions) Assets and Claims Against Assets at Book Value on 12/31/16 Assets Claims Answers Here Book Value Market Value (1) (2) $ Cash Receivables Inventories Total C.A. 10 375 615 1,000 $ Net fixed assets $ 1,000 Accounts payable $ 60 Accruals 140 Spontaneous debt $ 200 Notes payable 110 Total C.L. $ 310 Long-term debt 750 Total liabilities $ 1,060 Preferred stock Common stock 130 Retained earnings 810 Total common equity $ 940 Total claims $ 2,000 3.0% 7.0% 10.0% 5.5% 15.5% 37.5% 53.0% 0.0% 6.5% 40.5% 47.0% 100.0% Total assets $ 2,000 Notes: Recently the companys stock has been selling at $23.06 / per share The company has 50 million shares outstanding Beta for this company is 1.15 Notes Payable has a nominal interest rate of 6.5% - interest is paid monthly DJIA is on track to produced an annual return of 11.35% this year S&P 500 produced an annual retum of 7.75% last year Long term debt are bonds selling at a discount to par. Coupon is paid semi-annually at $30 each payment The bonds have a YTC of 8.4% and a YTM of 7.4% Federal Reserve has a GDP forecast of 2.1% growth for this year Federal Tax rate is 40% 2 year Govt Bonds have a yield of 3.5% T-Bills have a yield of 2.75% and are selling at a discount Common Stock paid a dividend of $1.75 and has a expected growth rate of 5% PROBLEM 1) Calculate and show the various components of capital deployed by the company Show Book Value & Market Values of the capital components - Wd/Wp/Ws or We 2) Calculate the company's WACC Show your calculations and work