Question: 30: Based upon the characteristics for Eze Corp, which is located in Estonia, determine its weighted average cost of capital for an Estonian investor Estonian

30:

Based upon the characteristics for Eze Corp, which is located in Estonia, determine its weighted average cost of capital for an Estonian investor

  • Estonian risk-free rate: 6.00%
  • Estonian equity market risk premium: 4.75%
  • Eze Corp beta: 1.2
  • Estonian corporate income tax rate: 28.5%
  • Enterprise value for Eze Corp (ie market value of debt and equity): EUR 2.75bn
  • Eze Corp's market value of outstanding debt EUR 1,787,500,000
  • The weighted average interest rate on Eze Corp's outstanding debt is 10.75%pa

i have put all questions explain with full

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