Please show all steps and the correct answer for the following

XYZ Corp. has equity beta 1.6 and market value of equity $210 million. The required return on XYZs debt is 7.2%. The market value of that debt is $240 million. The risk-free rate is 2% and the expected return on the market is 8.2%. What is XYZs WACC (no tax)?

A.
9.87%

B.
10.43%

C.
9.40%

D.
8.94%

E.
10.90%

Question

Please show all steps and the correct answer for the following

XYZ Corp. has equity beta 1.6 and market value of equity $210 million. The required return on XYZs debt is 7.2%. The market value of that debt is $240 million. The risk-free rate is 2% and the expected return on the market is 8.2%. What is XYZs WACC (no tax)?

	A.	9.87%
	B.	10.43%
	C.	9.40%
	D.	8.94%
	E.	10.90%

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Please show all steps and the correct answer for the following XYZ Corp. has equity beta 1.6 and market value of equity $210 million. The

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