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You are helping the CFO of Sustainable Services Co. to compute the MIRR of a project. Please follow the steps below. Step 1: Calculate the

You are helping the CFO of Sustainable Services Co. to compute the MIRR of a project. Please follow the steps below.

Step 1: Calculate the company's cost of equity. The companys stock has a beta of 1.2, a market risk premium of 8%. The risk-free rate is 3%. Question a) what is the company's cost of equity? (Please express your answer in percentage, e.g. 20.36%)

Step 2: Calculate the company's WACC. The companys capital structure is 65% equity, 35% debt. The company's cost of debt is 8%. The tax rate of the company is 30%. Question b) What is the weighted average cost of capital (WACC)? (Please express your answer in percentage, e.g. 20.36%)

Step 3: Calculate the MIRR of the project with the following cash flows. T=0 T=1 T=2 T=3 T=4 -$2,000 $800 $800 $800 $800 Question c) What is the MIRR of the above project? (Please express your answer in percentage, e.g. 20.36%)

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