please help answer the circled area on the spreadsheet. Thank you!!

Apologies here is all the info from the spreadsheet I hope it is easy to put together. Again please use this information to answer the section circled. Thank you!

the problem is in regards to capital budgeting and WACC. the part circled that I need help with is in regards to Incremental cost. I have tried working on it some more but I still can not get it

Complete WACC and Capital Budgeting Exercise Complete all groenthaded cells. Take note of additional schedules to complete below as far as row 76 ondan cacions Calculations Gem Mini WACO Thomction below Corporate Marginal 2 New product line formation Yew Troven TB0000 Annuaflevere Grovit 6.5% YouTCOGS 59% Annual reduction in COG5%, COLE Feverde on rev Post Line COGS 5 Gener Admin Costs Depreciatiomhed debelow EBIT salincome SCA Annual Reduction in SA Increase in Woned 6520.000 630100 7189517 710032 2,387 761 8.332.965 3.513,60D 10.13 DEOS 11,491369 IBRE 4.089990 4318, 765 4560 106 4,81457 Saa2 857 5.365.675 5862 5977977 6309085 52100 51170 513 908737 502.632 436501 190.641 184754 478937 473.189 1961322 3.206 R2 2.040522 1207.746 158.938 373.274 166 010 158.238 1873-150 520.943 1.499,242 1911,516 2.587,401 3,284 018 3.797 445 4.333,638 4.709.684 13 1192 1371 THE 329.833 569728 722.404 438 953.405 10363 RE 406,336 1.100.000 1491 DEO 20131 2551531 2002 3390754 9,673554 1367 3206,082 20062 1.307746 1158 968 266.108 314 186.010 0 0 24001 254 209 281118 293.150 310 253 338.621 380 231 383.351 40296 433.980 1836.478 2 200 650 2.165.740 2,170 1145 2.331,746 2.445,550 2.574,515 2.764,666 2,972 360 3.239,583 Es within ournois Businthebed totalt Tanes T1000.000 FO Addik Deprecision to schedule Les Eton Coutstvo schedule Operating Cash Flour 1234 690.000 Sant Gests Tangen new producine Posterechinton prodline Arrusiarehouse 30 338 GOU In tertental Coats Car Spending Stan-Coil Altera Proceeds of Dupona Change in Net Woding Cart Relevant County costs Thermal Cash Flow 375.000 690.000 6907000 witing For Les Eroski. Fue erotional 074,000 hoender COGS 63.6 Discounted Cash Flow Cum Cash Flow Cum Discoured Cash Flow Nor Pieser Vue RR Mer Emer Required IMAGESTA student name main H ven 11.000.000 1300 500 19.252 690.00 D E G Startse Taring on new product line 950 000 Capital Spendng Pro research in new prodline pred line 388.00 Scart-up Com AlterProceeds Disposals Anwarehousentalost 315.000 Change in Not Working Capit Relevant Opportunity costs Exis Productes Erosion Increments Cash Flow Revenue erosion ye 1 874 500 increased erosion per we 6.4% % Discounted Cash Flow COGS Gumulative Cash Flow Cumulative Discounted Cash Flow Me Equmentleged Net Prese Value Coat MACASTLE IRR machine 6.820.000 Payback machine 2 4,180.000 7 Discounted Payback Pichtabindex Disposal a Ewang machinery Cost Book Vakre Proceeds machine 5 000 000 001600410.000 machineb 3500.000 200.000 175.000 Schedule: Revenue Erosion Costs Schedule: GIL on Disposal net of Tax Los Reverie Related COGS Gin Loss Taton G Net Proceeds Gross prote machine a B4003 1.848 10.240 le machineb 125.000 5,500 19.5001 Net Erosion Costs Total 192527 Schedule: Depreciation machine 115 MACRSLI machine 2 17 year MACRS Liel Toral 874,600 556 245 316354 70038 248.316 930 574 591 845 138.729 74,520 254.209 990.131 623723 030408 78.290 281.118 1053 500 670 026 383.474 84.3644 299 110 1.120.920 712 907 408.01 897641 318 253 1.192.663 758 533 434 129 95508 338,621 1268.983 807.000 461913 101827 360,293 1350203 858.73 4314761 108.125 383.351 1435622 913650 522930 115.045 407 888 1528,565 $12.188 5563 122.400 433 9:10 1354.000 2.182.400 1309,440 85 864 785,664 597 322 1023 882 731062 522082 373.274 1.961.322 3.206,082 2,040,522 1.307,746 1.158.938 392 832 373274 766,106 373.274 373 274 1E8 070 186 010 MALES LLables C E F G Complete all green-shaded cells. Take note of additional schedules to complete below as far as row 76 do not round any calculator Calculations Glven Information WACC (from calculation below Corporate Marginal Taxa 79 30 2209 1 12 13 14 15 15 17 TB New product line information Yaar 1 revenues Annual Revenue Growth rate: Year 1 COCS 66 Annual reduction in COGS 5620.000 6.556 59456 0.596 Revenue on new Product Line COGS Sales General Admin Costs Depreciation from schedule below) EBIT Tales Nel income Add Back Depreciation (from schedule Less Erosion Cost from schedule) Operating Cash Flows Initial incremental SGA Annual Reduction in SG&A Increase in NWC required 22:00 1.2 690 000 5,520,000 5,943 800 147 7875832 8 387,761 8.992.965 9.513,608 10 2.072.000 4009398 1318 766 5560106 814,575 502857 5385675 6 527500 521170 514916 50e727 502632 496,601 490,541 1.361322 3.206,082 2040.522 1207740 1.158.938 768 108 372274 158.298 1873.3501 520,943 1.499.242 1.911,616 2.587 401 3.284.018 + 34.820 (192137 1141608 329 33 42056 569229 7222 123,472 1681213 406.336 115409 1 491,00 2018 173 2551534 2 1951.322 3206082 2040.522 1307 746 1 158.938 756 105 373 274 248 110 284208 281 118 299 110 318 253 338.621 360.293 1.836.478 2.260.660 2.165.740 2.178.045 2.331,746 2.445,658 2.574,515 2 Entre and costs a positive to the count for internuwine subtotals and totais tipa 11.000.000 1388 500 972 5911.000 20 21 22 22 Start-up COSIS: Training on new produdane 300.000 Prior research into new prod. line 393.600 Incremental Capital Spending Start-up Costa After-Tax Proceeds of posil Change in Net Working Capital Relevant Opportunity casts Incremental Cash Flow Annual warehouse rentals 375,000 20 Existing Product Lines Erosion Revence erosion year 1 Increased erosion per year COGS 30 31 374.600 6,4% 63.6% Discounted Cash Flow Cumulate Cash Flow Cumulative Discounted Cash Flow B D E F F 3 4 7 9 Given Information WACC: (from calculation below) Corporate Marginal Tax rate: Year 7.9% 22.0% New product line information Year 1 revenues Annual Revenue Growth rate: Year 1 COGS % Annual reduction in COGS%. 6,520,000 6.5% 59.4% 0.5% Reve COG Sales Depre EBIT Taxes Net ir Add E Less Opera Initial Incremental SGA Annual Reduction in SG&A Increase in NWC required: 527,500 1.2% 690,000 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 Start-up costs: Training on new product line 990,000 Prior research into new prod. line 398,600 Increr Capit Start- After- Chan Relev Increr Annual warehouse rental lost. 375.000 Existing Product Lines Erosion: Revenue erosion year 1: Increased erosion per year. COGS % 874,600 6.4% 63.6% Disco Cumu Cumu G K N 0 P R 10 11.491 6.309 473 6.520 000 6.943,800 7 395 147 3 872 880 4,089,898 4.318.766 527.500 521,170 514 916 1951 322 3,206032 2040 522 158,298 1873,350) 520,943 34 825 (19213) 114 608 123,472 1681 213 406 336 1951 322 3.706.082 2040 522 243316 254 209 201118 1,836,478 2,260,560 2,165,740 istorantes costs as positive 11.000.000 1 388 600 7.875,832 4.560 106 508.737 1,307 746 1,499,242 329,833 1 169.409 1307.746 299 110 2,178,045 8.387 761 4 814 575 502 632 1,158.938 1.911.616 420.555 1491 060 1.158.938 318 253 2.331,746 10 11 Revenue on new Product Line 12 COGS 13 Sales, General & Admin Costs 14 Depreciation (trom schedule below) 15 E 16 Taxes 17 Net Income Add Back Depreciation from schedule) 19. Less Erosion Costs from schedule 20 Operating Cash Flow 21 22 Incremental Costs 23 Capital Spending 24 Start-up Costs 25 Afer Tax Proceeds of Disposals 20. Change in Not Working Capital 27 Relevant Opportunity costs 28. Incremental Cash Flow 09 30 Discounted Cash Flow 21 Cumulati Cash Flow 32 Cumulative Discounted Cash Flow 8,932 965 9513,608 10 131,992 10.790 572 5,082 857 5365,675 5.663.784 5.977,977 496 501 490,641 484 754 478,937 756 105 373.274 186,010 0 2.587.401 3,284,018 3,797 445 4.333,658 569 228 722.484 835,438 953 405 2,018 173 2,561,534 2.962,007 3.380,254 766,106 373.274 186,010 0 338,621 360.293 383,351 407 886 2.445,658 2,574,515 2.764,666 2,972,368 totals and totals i poble for Taxes to be negative 4.709 1,036 3,673 433 3,239 690.000 690 34. Net Present Valio A B D E F H K New Equipment Required: Net Present Value Cost MACRS Lifel IRR machine 1 6,820,000 5 Payback machine 2 4,180,000 7 7 Discounted Payback Crofitability Index Disposal of Existing machinery Cost Book Value Proceeds machine a 5,000,000 401,600 410.000 machine b 3,500,000 200,000 175,000 Schedule: Revenue Erosion Costs Schedule: G/L on Disposals (net of Tax) Lost Revenue Related COGS Gain/(Loss) Tax on GL Net Proceeds Gross profit machine a 8,400 1.848 10 248 Taxes machine b (25.000) 5,500 (19,500) Net Erosion Costs Total (9.252) Schedule: Depreciation machine 15 year MACRS Life) machine 27 year MACRS Life) Total 874,600 556,246 318,354 70,038 248,316 930,574 591,845 338,729 74 520 264,209 990 131 629,723 360,408 79,290 281,118 + 1,053,500 670,026 383,474 84.364 299,110 1,120,924 712.907 408 016 89.764 318,253 1.364 000 597,322 1,961,322 2.182,400 1,023,682 3,206,082 1,309,440 731.082 2,040,522 785,664 522,082 1,307,746 785,664 373,274 1,158,938 MACRS Tax Tables 5 Year 7 Year 7 20.00% 14.29% 32 00% 24.49% 19 20% 17.49% 11.52% 12.49% 11.5296 8.9396 M P s T U H 0 3 2 3 L 4 N 6 o 2 R 10 9 874,600 556, 246 318,354 70,038 248,316 930,574 591.845 338 729 74 520 264,209 990, 131 629,723 360.408 79,290 281,118 1,053,500 670,026 383,474 B4 364 299,110 1,120,924 712,907 408,016 89,764 318,253 1,192,663 758,533 434, 129 95,508 338,621 1,268,993 807,080 461,913 101,621 360,293 1,350,209 858 733 491,475 108,125 383,351 1,436,622 913,692 522 930 115.045 407.886 1,528,566 972 168 556,398 122408 433.990 1,364,000 597 322 1,961,322 2 182 400 1,023,682 3,206,082 1,309 440 731082 2,040.522 785 664 522,082 1,307,746 785 664 373 274 1,158,938 392 832 373,274 766,106 373 274 373,274 186,010 186,010 ACRS Tax Tables 5 Year 7 Year 20.00% 14 29% 32.00% 24 49% 19 20% 17.4996 11.52% 12.49% 11.52% 8.93% 5.76% 8.93% 8.93% 4.45% VACC Calculation Cost of Equity (Ke) Cost of Debt (ka) - 0.95% 1 20% 6.30% Description Bond 1 Bond 2 D YTM 7.296 6.1% DI Par Value 5.000.000 2.500.000 1 OCA Weight 40.5% 20.2% 530 After Tax 5.6% 4.8% Weighted 2.279 0.96% MRP 1 o P 32.00% 24.49% K 19 20 17.49% 11.52% 1249% M 11524 8 93% N 575% 8 93% 8.93% 4.45% H 57 5 Year 20.00% 58 7 Year 14 29% 59 60 51 WACC Calculation 62 63 Cost of Equity (e) 54 55 0.95% 56 h 1.20% 67 MRP 6.30% 58 Beta 1.3 39 Cost of Equity 10.34% 70 Cost of Debt (Kd) Description Bond 1 Bond 2 Bond 3 YTM 72% 6.1% 5.3% Par Value 5,000,000 2,500,000 4,850,000 12.350,000 Weight 40.5% 20.2% 39.3% After-Tax % 5.6% 4.8% 41% Cost of Debt (Kd Weighted 2.27% 0.96% 1.52% 4.86% Cost of Capital (Ke) 72 Cost of Equity (ke) Cost of Debt (d) Rate 10 34% 4.86% 74 75 76 77 Balance 15.800,000 12 350.000 28 150.000 Weight 56.1% 439% WACO Weighted 5.80% 2 13% 7.94% Complete WACC and Capital Budgeting Exercise Complete all groenthaded cells. Take note of additional schedules to complete below as far as row 76 ondan cacions Calculations Gem Mini WACO Thomction below Corporate Marginal 2 New product line formation Yew Troven TB0000 Annuaflevere Grovit 6.5% YouTCOGS 59% Annual reduction in COG5%, COLE Feverde on rev Post Line COGS 5 Gener Admin Costs Depreciatiomhed debelow EBIT salincome SCA Annual Reduction in SA Increase in Woned 6520.000 630100 7189517 710032 2,387 761 8.332.965 3.513,60D 10.13 DEOS 11,491369 IBRE 4.089990 4318, 765 4560 106 4,81457 Saa2 857 5.365.675 5862 5977977 6309085 52100 51170 513 908737 502.632 436501 190.641 184754 478937 473.189 1961322 3.206 R2 2.040522 1207.746 158.938 373.274 166 010 158.238 1873-150 520.943 1.499,242 1911,516 2.587,401 3,284 018 3.797 445 4.333,638 4.709.684 13 1192 1371 THE 329.833 569728 722.404 438 953.405 10363 RE 406,336 1.100.000 1491 DEO 20131 2551531 2002 3390754 9,673554 1367 3206,082 20062 1.307746 1158 968 266.108 314 186.010 0 0 24001 254 209 281118 293.150 310 253 338.621 380 231 383.351 40296 433.980 1836.478 2 200 650 2.165.740 2,170 1145 2.331,746 2.445,550 2.574,515 2.764,666 2,972 360 3.239,583 Es within ournois Businthebed totalt Tanes T1000.000 FO Addik Deprecision to schedule Les Eton Coutstvo schedule Operating Cash Flour 1234 690.000 Sant Gests Tangen new producine Posterechinton prodline Arrusiarehouse 30 338 GOU In tertental Coats Car Spending Stan-Coil Altera Proceeds of Dupona Change in Net Woding Cart Relevant County costs Thermal Cash Flow 375.000 690.000 6907000 witing For Les Eroski. Fue erotional 074,000 hoender COGS 63.6 Discounted Cash Flow Cum Cash Flow Cum Discoured Cash Flow Nor Pieser Vue RR Mer Emer Required IMAGESTA student name main H ven 11.000.000 1300 500 19.252 690.00 D E G Startse Taring on new product line 950 000 Capital Spendng Pro research in new prodline pred line 388.00 Scart-up Com AlterProceeds Disposals Anwarehousentalost 315.000 Change in Not Working Capit Relevant Opportunity costs Exis Productes Erosion Increments Cash Flow Revenue erosion ye 1 874 500 increased erosion per we 6.4% % Discounted Cash Flow COGS Gumulative Cash Flow Cumulative Discounted Cash Flow Me Equmentleged Net Prese Value Coat MACASTLE IRR machine 6.820.000 Payback machine 2 4,180.000 7 Discounted Payback Pichtabindex Disposal a Ewang machinery Cost Book Vakre Proceeds machine 5 000 000 001600410.000 machineb 3500.000 200.000 175.000 Schedule: Revenue Erosion Costs Schedule: GIL on Disposal net of Tax Los Reverie Related COGS Gin Loss Taton G Net Proceeds Gross prote machine a B4003 1.848 10.240 le machineb 125.000 5,500 19.5001 Net Erosion Costs Total 192527 Schedule: Depreciation machine 115 MACRSLI machine 2 17 year MACRS Liel Toral 874,600 556 245 316354 70038 248.316 930 574 591 845 138.729 74,520 254.209 990.131 623723 030408 78.290 281.118 1053 500 670 026 383.474 84.3644 299 110 1.120.920 712 907 408.01 897641 318 253 1.192.663 758 533 434 129 95508 338,621 1268.983 807.000 461913 101827 360,293 1350203 858.73 4314761 108.125 383.351 1435622 913650 522930 115.045 407 888 1528,565 $12.188 5563 122.400 433 9:10 1354.000 2.182.400 1309,440 85 864 785,664 597 322 1023 882 731062 522082 373.274 1.961.322 3.206,082 2,040,522 1.307,746 1.158.938 392 832 373274 766,106 373.274 373 274 1E8 070 186 010 MALES LLables C E F G Complete all green-shaded cells. Take note of additional schedules to complete below as far as row 76 do not round any calculator Calculations Glven Information WACC (from calculation below Corporate Marginal Taxa 79 30 2209 1 12 13 14 15 15 17 TB New product line information Yaar 1 revenues Annual Revenue Growth rate: Year 1 COCS 66 Annual reduction in COGS 5620.000 6.556 59456 0.596 Revenue on new Product Line COGS Sales General Admin Costs Depreciation from schedule below) EBIT Tales Nel income Add Back Depreciation (from schedule Less Erosion Cost from schedule) Operating Cash Flows Initial incremental SGA Annual Reduction in SG&A Increase in NWC required 22:00 1.2 690 000 5,520,000 5,943 800 147 7875832 8 387,761 8.992.965 9.513,608 10 2.072.000 4009398 1318 766 5560106 814,575 502857 5385675 6 527500 521170 514916 50e727 502632 496,601 490,541 1.361322 3.206,082 2040.522 1207740 1.158.938 768 108 372274 158.298 1873.3501 520,943 1.499.242 1.911,616 2.587 401 3.284.018 + 34.820 (192137 1141608 329 33 42056 569229 7222 123,472 1681213 406.336 115409 1 491,00 2018 173 2551534 2 1951.322 3206082 2040.522 1307 746 1 158.938 756 105 373 274 248 110 284208 281 118 299 110 318 253 338.621 360.293 1.836.478 2.260.660 2.165.740 2.178.045 2.331,746 2.445,658 2.574,515 2 Entre and costs a positive to the count for internuwine subtotals and totais tipa 11.000.000 1388 500 972 5911.000 20 21 22 22 Start-up COSIS: Training on new produdane 300.000 Prior research into new prod. line 393.600 Incremental Capital Spending Start-up Costa After-Tax Proceeds of posil Change in Net Working Capital Relevant Opportunity casts Incremental Cash Flow Annual warehouse rentals 375,000 20 Existing Product Lines Erosion Revence erosion year 1 Increased erosion per year COGS 30 31 374.600 6,4% 63.6% Discounted Cash Flow Cumulate Cash Flow Cumulative Discounted Cash Flow B D E F F 3 4 7 9 Given Information WACC: (from calculation below) Corporate Marginal Tax rate: Year 7.9% 22.0% New product line information Year 1 revenues Annual Revenue Growth rate: Year 1 COGS % Annual reduction in COGS%. 6,520,000 6.5% 59.4% 0.5% Reve COG Sales Depre EBIT Taxes Net ir Add E Less Opera Initial Incremental SGA Annual Reduction in SG&A Increase in NWC required: 527,500 1.2% 690,000 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 Start-up costs: Training on new product line 990,000 Prior research into new prod. line 398,600 Increr Capit Start- After- Chan Relev Increr Annual warehouse rental lost. 375.000 Existing Product Lines Erosion: Revenue erosion year 1: Increased erosion per year. COGS % 874,600 6.4% 63.6% Disco Cumu Cumu G K N 0 P R 10 11.491 6.309 473 6.520 000 6.943,800 7 395 147 3 872 880 4,089,898 4.318.766 527.500 521,170 514 916 1951 322 3,206032 2040 522 158,298 1873,350) 520,943 34 825 (19213) 114 608 123,472 1681 213 406 336 1951 322 3.706.082 2040 522 243316 254 209 201118 1,836,478 2,260,560 2,165,740 istorantes costs as positive 11.000.000 1 388 600 7.875,832 4.560 106 508.737 1,307 746 1,499,242 329,833 1 169.409 1307.746 299 110 2,178,045 8.387 761 4 814 575 502 632 1,158.938 1.911.616 420.555 1491 060 1.158.938 318 253 2.331,746 10 11 Revenue on new Product Line 12 COGS 13 Sales, General & Admin Costs 14 Depreciation (trom schedule below) 15 E 16 Taxes 17 Net Income Add Back Depreciation from schedule) 19. Less Erosion Costs from schedule 20 Operating Cash Flow 21 22 Incremental Costs 23 Capital Spending 24 Start-up Costs 25 Afer Tax Proceeds of Disposals 20. Change in Not Working Capital 27 Relevant Opportunity costs 28. Incremental Cash Flow 09 30 Discounted Cash Flow 21 Cumulati Cash Flow 32 Cumulative Discounted Cash Flow 8,932 965 9513,608 10 131,992 10.790 572 5,082 857 5365,675 5.663.784 5.977,977 496 501 490,641 484 754 478,937 756 105 373.274 186,010 0 2.587.401 3,284,018 3,797 445 4.333,658 569 228 722.484 835,438 953 405 2,018 173 2,561,534 2.962,007 3.380,254 766,106 373.274 186,010 0 338,621 360.293 383,351 407 886 2.445,658 2,574,515 2.764,666 2,972,368 totals and totals i poble for Taxes to be negative 4.709 1,036 3,673 433 3,239 690.000 690 34. Net Present Valio A B D E F H K New Equipment Required: Net Present Value Cost MACRS Lifel IRR machine 1 6,820,000 5 Payback machine 2 4,180,000 7 7 Discounted Payback Crofitability Index Disposal of Existing machinery Cost Book Value Proceeds machine a 5,000,000 401,600 410.000 machine b 3,500,000 200,000 175,000 Schedule: Revenue Erosion Costs Schedule: G/L on Disposals (net of Tax) Lost Revenue Related COGS Gain/(Loss) Tax on GL Net Proceeds Gross profit machine a 8,400 1.848 10 248 Taxes machine b (25.000) 5,500 (19,500) Net Erosion Costs Total (9.252) Schedule: Depreciation machine 15 year MACRS Life) machine 27 year MACRS Life) Total 874,600 556,246 318,354 70,038 248,316 930,574 591,845 338,729 74 520 264,209 990 131 629,723 360,408 79,290 281,118 + 1,053,500 670,026 383,474 84.364 299,110 1,120,924 712.907 408 016 89.764 318,253 1.364 000 597,322 1,961,322 2.182,400 1,023,682 3,206,082 1,309,440 731.082 2,040,522 785,664 522,082 1,307,746 785,664 373,274 1,158,938 MACRS Tax Tables 5 Year 7 Year 7 20.00% 14.29% 32 00% 24.49% 19 20% 17.49% 11.52% 12.49% 11.5296 8.9396 M P s T U H 0 3 2 3 L 4 N 6 o 2 R 10 9 874,600 556, 246 318,354 70,038 248,316 930,574 591.845 338 729 74 520 264,209 990, 131 629,723 360.408 79,290 281,118 1,053,500 670,026 383,474 B4 364 299,110 1,120,924 712,907 408,016 89,764 318,253 1,192,663 758,533 434, 129 95,508 338,621 1,268,993 807,080 461,913 101,621 360,293 1,350,209 858 733 491,475 108,125 383,351 1,436,622 913,692 522 930 115.045 407.886 1,528,566 972 168 556,398 122408 433.990 1,364,000 597 322 1,961,322 2 182 400 1,023,682 3,206,082 1,309 440 731082 2,040.522 785 664 522,082 1,307,746 785 664 373 274 1,158,938 392 832 373,274 766,106 373 274 373,274 186,010 186,010 ACRS Tax Tables 5 Year 7 Year 20.00% 14 29% 32.00% 24 49% 19 20% 17.4996 11.52% 12.49% 11.52% 8.93% 5.76% 8.93% 8.93% 4.45% VACC Calculation Cost of Equity (Ke) Cost of Debt (ka) - 0.95% 1 20% 6.30% Description Bond 1 Bond 2 D YTM 7.296 6.1% DI Par Value 5.000.000 2.500.000 1 OCA Weight 40.5% 20.2% 530 After Tax 5.6% 4.8% Weighted 2.279 0.96% MRP 1 o P 32.00% 24.49% K 19 20 17.49% 11.52% 1249% M 11524 8 93% N 575% 8 93% 8.93% 4.45% H 57 5 Year 20.00% 58 7 Year 14 29% 59 60 51 WACC Calculation 62 63 Cost of Equity (e) 54 55 0.95% 56 h 1.20% 67 MRP 6.30% 58 Beta 1.3 39 Cost of Equity 10.34% 70 Cost of Debt (Kd) Description Bond 1 Bond 2 Bond 3 YTM 72% 6.1% 5.3% Par Value 5,000,000 2,500,000 4,850,000 12.350,000 Weight 40.5% 20.2% 39.3% After-Tax % 5.6% 4.8% 41% Cost of Debt (Kd Weighted 2.27% 0.96% 1.52% 4.86% Cost of Capital (Ke) 72 Cost of Equity (ke) Cost of Debt (d) Rate 10 34% 4.86% 74 75 76 77 Balance 15.800,000 12 350.000 28 150.000 Weight 56.1% 439% WACO Weighted 5.80% 2 13% 7.94%