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Sarp Industries want to fund their new expansion project through shares and bonds. The weights of each are 70% and 30% respectively, the company's beta

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Sarp Industries want to fund their new expansion project through shares and bonds. The weights of each are 70% and 30% respectively, the company's beta is 0.9, the risk-free rate is 5% and the market risk premium is 7%. The yield to maturity on the bonds is 6% and the tax rate is 15%. The WACC is equal to: Select one: a. 10% b. 8.33% C. 10.33% d. 9.44% Consider a project that has an initial investment of 100,000 KD. It is expected to generate 20,000 KD per year in net revenue for the next 7 years. The WACC is 8% per year. The NPV of this project is: Select one: a. 3821.66 KD O b. 4712.4 KD C. 4127.4 KD d. 3218.66 KD O Bugs Corp. has funded its mega project through shares worth $3,000,000. The total funding required was $5,000,000. The rest of funding was achieved through bonds. What is the weight of bonds in the total funding of the project? Select one: a. 50% O b. 25% C. 40% d. 60% BA

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