Required:

$4\mathrm{.}1$ Calculate the value of the equity of Downed Ltd$.$

$(1$ mark$)$

$4\mathrm{.}2$ Calculate the cost of capital for Upped Ltd$.$

$(4$ marks$)$

$4\mathrm{.}4$ Calculate the weighted average cost of capital of Downed Ltd$.$

$(3$ marks$)$

$[$Question total: $10$ marks$]$