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i need help with all of these please!!! asap thank you If Smolinski, Incorporated, were an all-equity company, it would have a beta of 1.20
i need help with all of these please!!! asap
If Smolinski, Incorporated, were an all-equity company, it would have a beta of 1.20 . The company has a target debt-equity ratio of .70 . The expected return on the market portfolio is 10 percent and Treasury bills currently yield 3.5 percent. The company has one bond issue outstanding that matures in 30 years, a par value of $1,000, and a coupon rate of 6.4 percent. The bond currently sells for $1,070. The corporate tax rate is 22 percent. a. What is the company's cost of debt? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the company's cost of equity? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) c. What is the company's weighted average cost of capital? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) thank you
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