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Please show work in excel. Please use the following information to answer the questions that follow, as appropriate. You are the financial manager at XYZ

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Please show work in excel.

Please use the following information to answer the questions that follow, as appropriate. You are the financial manager at XYZ Corp and you are trying to determine the appropriate cost of capital to use for evaluating upcoming projects. To help with this, you have gathered the following information regrading relevant market values for your firm: Debt $173,364,424.47 Preferred Stock $55,924,007.89 Common Stock $329,951,646.57 YTM on Similar Securities Tax Rate 4.90% 21.00% 3.00% 15.00% 1.2 $9.01 $1.43 1.00% Preferred Stock Price Next Preferred Dividend Risk Free Rate Market Return Equity Beta Common Stock Price Next Common Dividend Long Run Growth Rate $54.75 $8.35 Part 1: Expressed as a percentage, what is the weight of debt for this firm? Answer = Part II: Expressed as a percentage, what is the weight of preferred stock for this firm? Answers Part III: Expressed as a percentage, what is the weight of common stock for this firm? Answer = Part IV: Expressed as a percentage, what is the effective cost of debt capital for this firm? Answer = 3 Part V: Expressed as a percentage, what is the cost of preferred stock capital for this firm? Answers 1 2 3 Part VI: Expressed as a percentage, what is the cost of common stock capital for this firm according to the CAPM model? Answer 7 3 Part VII: Expressed as a percentage, what is the cost of common stock capital for this firm according to the DDM model? 3 Answer = 1 2 3 Part VIII: Expressed as a percentage, what is the average cost of common stock capital for this firm across the two models? Answer 7 3 Part IX: Expressed as a percentage, what is the Weighted Average Cost of Capital (WACC) for this firm? 3 Answers 1 2 3

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