Q7: Look at the following book-value balance sheet for SASA Inc. in Worksheet 7. The preferred stock currently sells for $15 per share and pays a dividend of $2 a share. The common stock sells for $20 per share and has a beta of 0.7. There are 1 million common shares outstanding. The market risk premium is 10%, the risk-free rate is 6%, and the firm's tax rate is 40%,(15) a. What is the ratio of market debt value to total firm value? (15') b. What is SASA Inc's WACC? ( 5 extra) Q7: Look at the following book-value balance sheet for SASA Inc. in Worksheet 7. The preferred stock currently sells for $15 per share and pays a dividend of $2 a share. The common stock sells for $20 per share and has a beta of 0.7. There are 1 million common shares outstanding. The market risk premium is 10%, the risk-free rate is 6%, and the firm's tax rate is 40%,(15) a. What is the ratio of market debt value to total firm value? (15') b. What is SASA Inc's WACC? ( 5 extra)