Task 1 - Cost of Capital 1. You have been provided the Financial Position Statement (Balance Sheet) of Al Batinah Power Company SAOG for the year 2019 and the extracted capital structure is presented here below: Item Amount in RO (2019) Total Equity Capital 88,938 3.6% Term Loan 122,685 Total 211,623 Average market return of power companies in Oman is about 15%. Oman's Average Government 10 years bond yield is 5.66% p.a. (Risk free rate of return). The company has a marginal tax rate of 15%. Required: (a) Calculate Cost of Equity capital using CAPM model (1 marks) (b) Calculate Cost of Term Loan (1 mark) (c) Calculate Weighted average cost of capital. (2 marks) (d) You as a finance manager of Al Batinah Power Company explain with justification any two important factors that would affect weighted average cost of capital of your company. (1 Mark) (Total 5 Marks)