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you are trying to calculate your organization`s WACC, you know that T-bills are currently yielding 4%. Your current bond issue has 15yrs to maturity, the
you are trying to calculate your organization`s WACC, you know that T-bills are currently yielding 4%. Your current bond issue has 15yrs to maturity, the market risk premium is 10% the bonds pay an coupon rate of 8%. The companies Beta is 1.25 and your bonds are presently trading at 101.20% of their value . your organization has a capital structure wight of 65% equity and 35% Debt. The corporate tax rate is 32%. What is the WACC
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