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Use the balance sheet and market data below to calculate 1) the costs of capital, and 2) the weighted average cost of capital See attachment
Use the balance sheet and market data below to calculate 1) the costs of capital, and 2) the weighted average cost of capital
See attachment
Use the balance sheet and market data below to calculate 1) the costs of capital, and 2) the weighted average cost of capit Balance sheet data Shares outstanding Bonds outstanding Market data Share price S&P 500 average return T-bill average return Beta Bond price Years to maturity Coupon rate Par value Coupon payments per year Tax rate 100,000,000 500,000 $10.00 10.1% 4.3% 1.35 $995.00 15 6% $1,000 2 40% Costs of capital Cost of equity Cost of debt After-tax cost of debt Weighted average cost of capital Market value Equity Debt Total Weight ghted average cost of capital Use appropriate formulas, functions, cell references, and number formats for calculations. After-tax cost Weight*after-tax cost WACC 9.31%Step by Step Solution
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