Question 1 (total of 12 marks): Data about a company and the financial markets are given below. All rates are affective annual rates. Assume a classical tax system. The company has 1 million shares . The shares are expected to pay their next annual dividend of $20 in one year, which will grow by the 2% inflation rate every year aftem that The bota of the company's equity is 1.5 The company is also funded by 2 million 10-year bonds which it just issued. Each has a $100 face value, a 4% pa yield to maturity and 33% pa coupon rate, paid annually. The corporate tax rate is 30% 10 year government bonds yield 1% pa and have zero coupons. The ASX200 market index has a total expected return of 6% pa. Provide all answers as decimals rounded to at least 6 decimal places. Question 1a (marks) Calculate the current price of one of the firm's bonds Answers Question 1b 2 marks Calculate the firm's required return on equity, Give your answer as a decimal correct to at least 6 decimal places 50 for ample if your answer is 123456789 write 0.0123456789 Question 112 marsal Calculate the current price of one of the firm's shares Question 102. Calculate their debt to-stranice your calcorect to decimal acesso for samlet yours 123456789 wit 0012345678 De contre WACC conecta como MacBook Air 30 DOO 000 F4 FS FB FO %2 3 $ 4 % 5 6 & 7 8 8 9 0