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I'm sorry if this question is hard for you to understand, but my professor has given that much in this and there's not really much

I'm sorry if this question is hard for you to understand, but my professor has given that much in this and there's not really much I can do about it.image text in transcribed

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What is Amazon's WACC? Note: Amazon does not have r preferred stock. Apply the CAPM to estimate the cost of equity using the expected market return and risk-free rate from the Walmart WACC estimate. Answer to 2 decimal places in % format w/o % sign. Amazon's Bonds A Name 1 2 Amazon Com 2060-06-03 3 Amazon Com 2057-08-22 4 Amazon Com 2050-06-03 5 Amazon Com 2047-08-22 6 Amazon Com 4.95% 2044-12-05 7 Amazon Com 2037-08-22 8 Amazon Com 4.8% 2034-12-05 9 Amazon Com 2030-06-03 10 Amazon Com 2027-08-22 11 Amazon Com 2027-06-03 12 Amazon Com 5.2% 2025-12-03 13 Amazon Com 2025-06-03 14 Amazon Com 3.8% 2024-12-05 15 Amazon Com 2024-08-22 16 Amazon Com 2023-06-03 17 Amazon Com 2023-02-22 18 Amazon Com 2.5% 2022-11-29 19 Amazon Com 3.3% 2021-12-05 20 Amazon Com 2020-08-21 21 D E G H I Maturity Referecne Time to Coupon Coupon Yield to Amount Amount Date Date Maturity Frequency Rate Maturity Outstanding Outstanding (Years) (%) (%) Market Value 6/3/2060 6/25/2020 39.97 Semi-Annually 2.70 2.63 2,000,000,000 $2,036,208,274.59 8/22/2057 6/25/2020 37.18 Semi-Annually 4.25 2.67 2,250,000,000 $3,085,716,749.92 6/3/2050 6/25/2020 29.96 Semi-Annually 2.50 2.50 2,500,000,000 $2,500,399,000.28 8/22/2047 6/25/2020 27.18 Semi-Annually 4.05 2.53 3,500,000,000 $4,537,695,197.38 12/5/2044 6/25/2020 24.46 Semi-Annually 4.95 2.62 1,500,000,000 $2,129,617,384.23 8/22/2037 6/25/2020 17.17 Semi-Annually 3.88 2.34 2,750,000,000 $3,345,974,304.34 12/5/2034 6/25/2020 14.45 Semi-Annually 4.80 2.00 1,250,000,000 $1,687,177,234.35 6/3/2030 6/25/2020 9.95 Semi-Annually 1.50 1.52 2,000,000,000 $1,995,464,781.50 8/22/2027 6/25/2020 7.16 Semi-Annually 3.15 1.19 3,500,000,000 $3,968,765,923.29 6/3/2027 6/25/2020 6.94 Semi-Annually 1.20 1.21 1,250,000,000 $1,248,965,970.26 12/3/2025 6/25/2020 5.44 Semi-Annually 5.20 0.91 871,747,000 $1,069,727,237.01 6/3/2025 6/25/2020 4.94 Semi-Annually 0.80 0.76 1,250,000,000 $1,252,168,869.26 12/5/2024 6/25/2020 4.45 Semi-Annually 3.80 0.75 1,250,000,000 $1,416,785,985.95 8/22/2024 6/25/2020 4.16 Semi-Annually 2.80 0.66 2,000,000,000 $2,175,217,285.59 6/3/2023 6/25/2020 2.94 Semi-Annually 0.40 0.45 1,000,000,000 $998,528,621.74 2/22/2023 6/25/2020 2.66 Semi-Annually 2.40 0.30 1,000,000,000 $1,055,784,620.84 11/29/2022 6/25/2020 2.43 Semi-Annually 2.50 0.52 1,250,000,000 $1,309,765,452.92 12/5/2021 6/25/2020 1.45 Semi-Annually 3.30 0.58 1,000,000,000 $1,039,056,097.67 8/21/2020 6/25/2020 0.16 Semi-Annually 1.90 0.37 1,000,000,000 $1,002,384,710.16 Avg 12.79 Avg 2.95 1.40 Total $37,855,403,701.28 22 Amazon's Beta Amazon y = 1.1634x + 1.4463 R2 = 0.3077 30 20 10 Amazon Monthly Returns -10 -5 10 15 -10 -20 -30 S&P 500 Monthly Returns Amazon Stock Quote AMZN US $ C 2436.88 9.86 X2435.81/2436.910 2x1 On 22 May c Vol 2,867,079 0 2455.01P H 2469.85D L 2430. 13D Val 7.014B AMZN US Equity 98) Report Page 1/4 Security Description: Equity 1) Profile 2) Issue Info 3) Ratios 4) Revenue & EPS AMAZON.COM INC FIGI BBGOOOBVPV84 6 BI Research Primer | BICO Classification E-Commerce Discretionary Amazon.com, Inc. is an online retailer that offers a wide range of products. The Company products include books, music, videotapes, computers, electronics, home and garden, and numerous other products. Amazon offers personalized shopping services, Web-based credit card payment, and direct shipping to customers. ... More 8) Price Chart | GP 9) Estimates | EE 13) Corporate Info Date (E) 07/24/20 14) www.amazon.com P/E 116.43 Seattle, WA, US Est P/E 12/20 124.94 Empls 840,400 (03/31/20) T12M EPS (USD) 20.93 15) Management | MGMT Est EPS 19.50 16) Jeffrey P Bezos "Jeff" Est PEG 2.14 Chairman/President/CEO/Fo... Px/Chg 1D (USD) 2436.88/-.4% 17) Andrew R Jassy "Andy" 52 WK H (05/21/20) 2525.45 12) Dividend | DVD >> CEO:Web Services 52 WK L (03/16/20) 1626.032 Ind Gross Yield N.A. 18) Jeffrey A Wilke "Jeff" YTD Change/% 589.04/31.88% CEO:Worldwide Consumer Mkt Cap (USD) 1,215.5B No cash dividends 12M Tot Ret 33.65% Shrs Out/Float 498.8M/422.7M Beta vs SPX 0.81 SI/% of Float 3.5M/0.83% 21) Depositary Receipts Days to Cover 0.6 Active Receipts What is Amazon's WACC? Note: Amazon does not have r preferred stock. Apply the CAPM to estimate the cost of equity using the expected market return and risk-free rate from the Walmart WACC estimate. Answer to 2 decimal places in % format w/o % sign. Amazon's Bonds A Name 1 2 Amazon Com 2060-06-03 3 Amazon Com 2057-08-22 4 Amazon Com 2050-06-03 5 Amazon Com 2047-08-22 6 Amazon Com 4.95% 2044-12-05 7 Amazon Com 2037-08-22 8 Amazon Com 4.8% 2034-12-05 9 Amazon Com 2030-06-03 10 Amazon Com 2027-08-22 11 Amazon Com 2027-06-03 12 Amazon Com 5.2% 2025-12-03 13 Amazon Com 2025-06-03 14 Amazon Com 3.8% 2024-12-05 15 Amazon Com 2024-08-22 16 Amazon Com 2023-06-03 17 Amazon Com 2023-02-22 18 Amazon Com 2.5% 2022-11-29 19 Amazon Com 3.3% 2021-12-05 20 Amazon Com 2020-08-21 21 D E G H I Maturity Referecne Time to Coupon Coupon Yield to Amount Amount Date Date Maturity Frequency Rate Maturity Outstanding Outstanding (Years) (%) (%) Market Value 6/3/2060 6/25/2020 39.97 Semi-Annually 2.70 2.63 2,000,000,000 $2,036,208,274.59 8/22/2057 6/25/2020 37.18 Semi-Annually 4.25 2.67 2,250,000,000 $3,085,716,749.92 6/3/2050 6/25/2020 29.96 Semi-Annually 2.50 2.50 2,500,000,000 $2,500,399,000.28 8/22/2047 6/25/2020 27.18 Semi-Annually 4.05 2.53 3,500,000,000 $4,537,695,197.38 12/5/2044 6/25/2020 24.46 Semi-Annually 4.95 2.62 1,500,000,000 $2,129,617,384.23 8/22/2037 6/25/2020 17.17 Semi-Annually 3.88 2.34 2,750,000,000 $3,345,974,304.34 12/5/2034 6/25/2020 14.45 Semi-Annually 4.80 2.00 1,250,000,000 $1,687,177,234.35 6/3/2030 6/25/2020 9.95 Semi-Annually 1.50 1.52 2,000,000,000 $1,995,464,781.50 8/22/2027 6/25/2020 7.16 Semi-Annually 3.15 1.19 3,500,000,000 $3,968,765,923.29 6/3/2027 6/25/2020 6.94 Semi-Annually 1.20 1.21 1,250,000,000 $1,248,965,970.26 12/3/2025 6/25/2020 5.44 Semi-Annually 5.20 0.91 871,747,000 $1,069,727,237.01 6/3/2025 6/25/2020 4.94 Semi-Annually 0.80 0.76 1,250,000,000 $1,252,168,869.26 12/5/2024 6/25/2020 4.45 Semi-Annually 3.80 0.75 1,250,000,000 $1,416,785,985.95 8/22/2024 6/25/2020 4.16 Semi-Annually 2.80 0.66 2,000,000,000 $2,175,217,285.59 6/3/2023 6/25/2020 2.94 Semi-Annually 0.40 0.45 1,000,000,000 $998,528,621.74 2/22/2023 6/25/2020 2.66 Semi-Annually 2.40 0.30 1,000,000,000 $1,055,784,620.84 11/29/2022 6/25/2020 2.43 Semi-Annually 2.50 0.52 1,250,000,000 $1,309,765,452.92 12/5/2021 6/25/2020 1.45 Semi-Annually 3.30 0.58 1,000,000,000 $1,039,056,097.67 8/21/2020 6/25/2020 0.16 Semi-Annually 1.90 0.37 1,000,000,000 $1,002,384,710.16 Avg 12.79 Avg 2.95 1.40 Total $37,855,403,701.28 22 Amazon's Beta Amazon y = 1.1634x + 1.4463 R2 = 0.3077 30 20 10 Amazon Monthly Returns -10 -5 10 15 -10 -20 -30 S&P 500 Monthly Returns Amazon Stock Quote AMZN US $ C 2436.88 9.86 X2435.81/2436.910 2x1 On 22 May c Vol 2,867,079 0 2455.01P H 2469.85D L 2430. 13D Val 7.014B AMZN US Equity 98) Report Page 1/4 Security Description: Equity 1) Profile 2) Issue Info 3) Ratios 4) Revenue & EPS AMAZON.COM INC FIGI BBGOOOBVPV84 6 BI Research Primer | BICO Classification E-Commerce Discretionary Amazon.com, Inc. is an online retailer that offers a wide range of products. The Company products include books, music, videotapes, computers, electronics, home and garden, and numerous other products. Amazon offers personalized shopping services, Web-based credit card payment, and direct shipping to customers. ... More 8) Price Chart | GP 9) Estimates | EE 13) Corporate Info Date (E) 07/24/20 14) www.amazon.com P/E 116.43 Seattle, WA, US Est P/E 12/20 124.94 Empls 840,400 (03/31/20) T12M EPS (USD) 20.93 15) Management | MGMT Est EPS 19.50 16) Jeffrey P Bezos "Jeff" Est PEG 2.14 Chairman/President/CEO/Fo... Px/Chg 1D (USD) 2436.88/-.4% 17) Andrew R Jassy "Andy" 52 WK H (05/21/20) 2525.45 12) Dividend | DVD >> CEO:Web Services 52 WK L (03/16/20) 1626.032 Ind Gross Yield N.A. 18) Jeffrey A Wilke "Jeff" YTD Change/% 589.04/31.88% CEO:Worldwide Consumer Mkt Cap (USD) 1,215.5B No cash dividends 12M Tot Ret 33.65% Shrs Out/Float 498.8M/422.7M Beta vs SPX 0.81 SI/% of Float 3.5M/0.83% 21) Depositary Receipts Days to Cover 0.6 Active Receipts

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