QUESTION 6 A firm has 650,000 shares of common stock outstanding at a market price of $58 a share. Last month, the firm paid an annual dividend in the amount of $2,80 per share. The dividend growth rate is 6%. The company also has 30,000 bonds outstanding with a face value of $1,000 per bond. The bonds carry a 6% coupon, pay interest annually, and mature in 10 years. The bonds are selling at 102% of face value. The company's tax rate is 25%. What is the company's weighted average cost of capital (WACC)? O 8.40% O 8.18% 8.06% 7.94% O 7.82% QUESTION 7 A company is considering an investment project with the following information: Initial investment: $1,750,000; Fixed costs: $370,000, Variable costs: $13.40 per unit: Selling price: $35.40 per unit, Discount rate: 14 percent Project life: 6 years; Tax rate: 25 percent. Fixed assets are depreciated using straight-line depreciation over the project's life. What is the financial break-even point (.e. the number of units produced and sold to break even financially)? | O 42,018 O 39,673 O 36,520 38,400 40,802