Optimum Capital Structure bution is cantly date S The CEO Nid you to explore whether the fem would be better off with a different capital status Complute the analysis Optimum Capital Suture Analy MOL ORPH Case 2 (pt) 8.0% NA 305.00PM 60.0% 80.0% 7.50% 11.00% E (not computed from CAPM) WACC 8.20% 12.38% 20.68% GLO785 0.0942 assume the given waces are correct, even if your computations disagree D Question 22 1 pts If the CEO of Motion asks you, "Why is considering fwac for various levels of D/(D+E) a common method to help estimate the optimum capital structure of an entity?", what is the single best answer you can give him. from the choices shown? TD (pretax) NO 7.50% 11.00% E (not computed from CAPM) 8.20% Y 12.88% 20.6WN WACC 0.08.20 0.0725 0.09542 "assume the given waces are correct, even if your computations disagree Question 22 1 pts If the CEO of InMotion asks you, "Why is considering twc for various levels of D/ID+E) a common method to help estimate the optimum capital structure of an entity?", what is the single best answer you can give him from the choices shown? O The minimum WAAC found corresponds to the maximum present value of a firm's future cash flows to all financial stakeholders The minimum WAAC found corresponds to the maximum present value of a firm's future cash flows to all shareholders The maximum WACC found corresponds to the maximum value of the firm O The optimum WACC is closest to ry. This case maximizes the value of the firm. D Question 23 1 pts A colleague in your firm believes that 0.0776 is the rwacc for Case 2. Assuming she is correct, what is the optimum D/(D+E) ratio for the firm? COMEN The WAAC un cosponds to the maximus present value of a fem's future cash flows to all shareholde O The maximum WACC found corresponds to the maximum value of the firm O The tum WACC is closest to ty. This case maximizes the value of the fem 1 pts Question 23 A colleague in your firm believes that 0.0776 is the race for Case 2. Assuming she is correct, what is the optimum D/D E) ratio for the firm? D Question 24 If X-5.84% and Y-9.34%, what is the rwacc for Case 2? Answer to 4 decimal places. 1 pts Pro-Forma Projections Excellently Engineered Bikes Historical financial statements for Excellently Engineered Bikes (EEB) are given below. Parameters for projecting