1. Wagon Corporation is considering a new investment project and needs to determine WACC as a reference to projects discount rate. Currently, company has 1,000 corporate bonds and 200,000 ordinary shares outstanding. Market price of the share is $20 while corporate bonds have 10-year maturity, interest rate of 9% paid semi- annually, face value of $1,000 and required rate of return of 10%. Tax rate is 30%. Beta coefficient of the ordinary share is 0.95, risk free rate is 4% and market portfolio return is 15%. Calculate Wages WACC.