Miller Mamufacturing has a target debt$-$equity ratio of $0\mathrm{.}60.$ Its cost of equity is $16$ per cent and its cost of debt is $10$ percent. If the tax rate is $35$ per cent. You are required to:

i$)$ calculate the weighted average cost of capital for milless manufactusing using the information provided above.

II$)$ State two assumptions you have made in order to culculare the wacc

III$)$ Provide the management of miller manufalturing with limitations of wacc with regard to the above calculations.