No handwritten, No images, except excel output plz

Question Four - Cost of Capital (10 marks) 1) Consider the following capital structure of company XYZ Pty Ltd, and answer the following questions: Debt: Debentures market value 60m, cost 7% Commercial bill market value 60m, cost 6% Equity: Ordinary shares market value 60m, cost 9% Preferred shares market value 120m, cost 10% a) Calculate the cost of the debt and the cost of equity. (4 marks) b) Given the tax rate is 12%, work out the WACC (weighted average cost of capital). (2 marks) 2) Explain the capital asset pricing model (CAPM) including the three components. (4 marks)