q1 and 2

1. Hassan Company's current capital structure consists of AED 200 million of long term debt and AED 400 million of equity. The company can sell long-term bonds at a market yield of 10 percent. The required return on its common stock is 11 percent. The firm's marginal tax rate is 35 percent. What is its weighted average cost of capital (WACC). 2. Use the constant-growth dividend valuation models where appropriate to fill in the missing values. Current Dividend per Share Expected Dividend Growth 2% Investor-Required Return % 16 13 Market Price Per Share 18.21 78.75 41.2 6.00 4.80 3%