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[The following information applies to the questions displayed below.] All-Canadian, Ltd., is a multiproduct company with three divisions: Pacific Division, Plains Division, and Atlantic Division.

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[The following information applies to the questions displayed below.] All-Canadian, Ltd., is a multiproduct company with three divisions: Pacific Division, Plains Division, and Atlantic Division. The company has two sources of long-term capital: debt and equity. The interest rate on All-Canadian's $408 million debt is 9 percent, and the company's combined federal and state income tax rates amount to 30 percent. The cost of All-Canadian's equity capital is 12 percent. Moreover, the market value of the company's equity is $527 million. (The book value of All-Canadian's equity is $438 million, but that amount does not reflect the current value of the company's assets or the value of intangible assets.) The following data (in millions) pertain to All-Canadian's three divisions. 2. Compute the economic value added (or EVA) for each of the company's three divisions. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Enter your final answers in dollars and not millions.) Required information [The following information applies to the questions displayed below.] All-Canadian, Ltd., is a multiproduct company with three divisions: Pacific Division, Plains Division, and Atlantic Division. The company has two sources of long-term capital: debt and equity. The interest rate on All-Canadian's $408 million debt is 9 percent, and the company's combined federal and state income tax rates amount to 30 percent. The cost of All-Canadian's equity capital is 12 percent. Moreover, the market value of the company's equity is $527 million. (The book value of All-Canadian's equity is $438 million, but that amount does not reflect the current value of the company's assets or the value of intangible assets.) The following data (in millions) pertain to All-Canadian's three divisions. Required: 1. Compute All-Canadian's weighted-average cost of capital (WACC). (Do not round intermediate calculations. Round yo inal answer to 2 decimal places (i.e., .1234 should be entered as 12.34).)

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