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: : Questionl Rassdele Co. s $69.79 per share and has a beta of 92 The market risk premlurm is 7.50 percent and the risk-free

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Questionl Rassdele Co. s $69.79 per share and has a beta of 92 The market risk premlurm is 7.50 percent and the risk-free rete is 315 percent annuelly The company ust pald a cividend of $3.73 per share, which it hes pledged to Increese at an annual rate of 3.45 percent indefin ely. What is your best esumate of the company's cost of equity? stock currently sells fo divtcend or sa Multipic Choce 98% 870% 215% O 833% 10.25% Question2 KIrris Bridal Shoppe h s 1 00 shares of cor rmon stock outstanding dt a price o S46 per share it a so nas 5 shares o pre erred stock outs anding at a price o 8 per share. There dre 6 O bonds mature in 27 years, have o foce value or $1,000, ond sell at 107 percent of par Whot is the capital structure weight of the common sock? outstanding that heve coupon rete a 6.5 percent pald semiannual y The bon noce vou. Mutple Chaice 4288 3812 Question.3 western Electnc nos 24.500 snares or common stock outstonding price per snore of S64 and ote of eu m of 13 75 percent. The tr nDE 6.550 s ores of 6.30 percent preferred stock outstanding ota price of $8750 per snore. T e prefer ed stock nosa porvalue of$100. The outstanding debt has a total fece value of $359 000 and currently sells for 1035 percent of face. The yield to maturity on the debt 763 percent what Is the firm's weighted derage cast o cepltal tf the tax rate 35 percent? Multple Choke t35% 0968 1010% 0588%

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