Question 2 Easy solutions SAOG has 50,000 shares at the current market price of OMR 15 each. Company also has Debt worth of OMR 300,000 . The return on equity is expected to be 11%. The debt are relatively less risky and has a return of 6%. Corporate tax rate is 30% per annum. 1. Using the above data, you are required to calculate the WACC for Easy solution SAOG. 2. Evaluate the circumstances where WACC can be used as an effective discount rate