QUESTION 17 The 90 day bank bill rate is quoted as 5.4 in the financial press. What is the correct cost of capital kbb to be used in the WACC calculation. Express as a number accurate to four places (to the nearest basis point). Do not enter the % sign (eg 5.5671% should be entered as .0557). QUESTION 18 Polycorp has a debt equity ratio of 0.74.What is the correct debt ratio D/V that should be used in the WACC formula? WACC = ke x E/V + kd x (1-t) x D/V Provide an answer as a decimal accurate to two decimal places eg 60.1569% should be entered as .60 Do not enter the % sign. QUESTION 19 What is the cost of capital for bank overdraft (kbo). The overdraft rate is 6.5 9% pa compounded 12 times a year? Answer as a percentage to two decimal places (2.12% should be entered as 2.14). Do not enter the % sign. QUESTION 20 Calculate the cost of preference capital (kp) for a non-redeemable preference share which has the following: Price = $14 and a Preference dividend of $1.2 paid every six months. Your answer should the effective annual cost as a decimal accurate to four decimal places. For example an answer of 12.113% should be entered as . 1211 with no % sign