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Suppose a firm has 32.20 million shares of common stock outstanding at a price of $26.59 per share. The firm also has 473000.00 bonds outstanding

image text in transcribed Suppose a firm has 32.20 million shares of common stock outstanding at a price of $26.59 per share. The firm also has 473000.00 bonds outstanding with a current price of $1,009.00. The outstanding bonds have yield to maturity 10.27%. The firm's common stock beta is 0.78 and the corporate tax rate is 39.00%. The expected market return is 10.35% and the T-bill rate is 1.61%. Compute the following: A. Weight of Equity of the firm: B. Weight of Debt of the firm: C. Cost of Equity of the firm: D. After Tax Cost of Debt of the firm: E. WACC for the Firm

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