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SABC Limited has the following information: The market values of the different components are : Debt (long-term loans): R200m. and Ordinary Shares: R500m. The current

SABC Limited has the following information: The market values of the different components are: Debt (long-term loans): R200m.

and Ordinary Shares: R500m.

The current (market related) cost of the different components was already calculated as being.

Debt (long-term loan) 6% (after-tax)

and Ordinary Shares: 14%.

Required: Calculate the WACC of SABC Limited by:

a. Using the mathematical formula
b. Completing the WACC table

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