In this question you are required to extract financial information on Texas Instruments which can be found in its annual report. You should refer in particular to Texas Instruments 2019 consolidated financial statements. The notes to these statements may also be relevant. You are required to:

a. use two appropriate methods to calculate the cost of equity for Texas Instruments

b. use two methods to calculate a cost of debt for Texas Instruments

Note the following:

the risk-free rate is 1.64% p.a.

the equity risk premium is 3% p.a.