Question 31 Answer saved Marked out of 1.30 Suppose your company has two bond issues currently outstanding, and they both make annual coupon payments. Based on the information below, what is the weighted average cost of debt? Total Coupon Rate Flag question Bond Market Value Yield to Maturity Time to Maturity 5:66 2 years 6205 6 years 6.4824 5510.750 $956 500 B 5.50 Select one SD 5099 8203 PM You are logged in as Kartike Queste 30 Answe saved Marked out of 100 Suppose ICU Inc. has a market value of equity = $500 million and a book value of equity - $300 million. The company's market value of debt - $475 million and its book value of debt = $400 million. What capital structure weights should be used in WACC computation? Ragguestion Select one WE = 50.00% and WD 50.00% b. WE = 55.00% and WD 45.0096 WE - 42.06and WD = 571 d Cannot be computed based on information provided e WE-51,28 and WD-48723 Previous page BI You are logged in as Kartike Questo 29 Answer saved Company XYZ's cost of equity is 15.35%, and the average YTM on its current bonds is 7.84% Market values of XYZ's equity and debt are 54 billion and 51.1 billion, respectively. Assuming a corporate tax rate of 25% what is the company's weighted average cost of capital (WACC)? Marked out of 1.00 Flag question Select one O a 13.73% b. Cannot be computed based on information provided 13.319 d. 13:05 e 1535. Ne page Previous page You are logged in as Kartikkel Questo 17 Answer saved ed out of 100 Big Land Development Co. purchased a tract of land three years ago for $12 million. At that time the company spent $50,000 in legal fees to have the land rezoned for commercial use and another $175,000 to have the land graded so that it is usable. The company is now trying to decide if they want to build one large retail store on the property on a strip mall consisting of smaller stores. Which of the costs identified above should be included in the project analysis as relevant incremental cast how to determine the best use of the property Flag question Select one Only the legal fees and the grading cost b. Only the cost of the grading None of the identified costs All of the identined costs Only the cost of the find the lading cost Prous cage