The minimum acceptable rate of return $($MARR$)$ used to evaluate the

acquisition of the forage system $($based on computerized monitoring$),$ you must be calculated. This consortium expects a return of $3\mathrm{.}0\%,$ with a risk inherent to the project. equivalent to $1\mathrm{.}5\%.$ In addition, both the computerized monitoring$-$based forage system and a complementary project to mix the products Chemicals require financing with the following capital cost:

A$.$ Shareholders contribute $$70$ thousand $($preferred shares$)$ that pay dividends

of $5\mathrm{.}0\%$ annually, and with a market price of the share of $$125,$ at $5\%$ discount.

B$.$ Shareholders contribute $$175$ thousand $($common shares$)$ where we know that there were dividend distribution in the previous year of $4\mathrm{.}55\%$ on the price of the

share, which is listed on the market at a price of $$40.$ There is also the Estimated dividend growth of $3\%$ per year.

C$.$ The difference in financing corresponds to the initial investment of the

complementary project selected in point $4.$ It will be financed through the issuance of Bonds, interest at $10\%$ redeemable at the end of $10$ years. It is known that the face or face value of each bond is $$1000$ and that They will be negotiated with a $5\%$ discount. The effective tax rate is of $18\%.$ At this point you should only use the official tables for the partial $(5\%,8\%,10\%,12\%$ and $15\%).$ Therefore, if the cost of debt capital is not found in these percentages, it is mandatory to interpolate.

What do you think of the Debt$-$Equity relationship?

Calculate the MARR