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What is the expected rate of return Based upon the answer above what must the beta be Given the corporate tax rate what is the

What is the expected rate of return
Based upon the answer above what must the beta be
Given the corporate tax rate what is the wacc
Assuming that the firm has a project that is expected to return (IRR) 10% should the firm take on the project?
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Use the following information to answer the next six questions. Note, there are only two source of funds for the firm - debt and common stock. Debt: 10000 bonds outstanding, maturity in 7 years, periodic (six-month) yield s 490, annual coupon rate is 5% CS: One million shares outstanding, current market value is $20.00 per share, last annual dividend was $2.00 and the next dividend is expected to be $2.10 based upon the constant dividend growth model, the market risk premium is 7.0% and the risk-free rate is 3.5%

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