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QUESTION 1 Suppose Corporation A has a book ( face ) debt value of $ 1 0 Million USD, trading at 8 0 % of

QUESTION 1
"Suppose Corporation A has a book (face) debt value of $10 Million USD, trading at 80% of its face value. It also has book equity of $15 Million USD, and 20 Million shares of common stock trading at $20 per share. What weights should Corporation A use for Debt capital when calculating its WACC? Express your answers in inrirthu numerical terms. For example, if the answer is 5%, write 0.05"
QUESTION 2
"Suppose Corporation A has a book (face) debt value of $10 Million USD, trading at 80% of its face value. It also has book equity of $15 Million USD, and 20 Million shares of common stock trading at $20 per share. What weights should Corporation A use for Equity capital when calculating its WACC? Express your answers in strirtlv numerical terms. For example, if the answer is 5% write 0.05''
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