6) Using the assumptions for ValueCo below, complete the following questions pegarding the weighted average cost of capital Assumptions Debt-to-Total Capitalization Cost of Debt Tax Rate Risk-free Rate Market Risk Premium Size Premium 30.0% 6.0% 38.0% 3.0% 6.6% 1.1% a. Calculate ValueCo's equity-to-total capitalization b. Calculate ValueCo's debt-to-equity ratio c. Calculate ValueCo's after-tax cost of debt Debt Equity Unlevered Beta D) (s in millions) Comparable Companies Unlevered Beta Predicted Market Market Company Lovered Beta Value of Debt Value of Equity 1.24 BuyerCo $2,200.0 $9,800.0 Sherman Co. 1.36 3,150.0 5,600.0 Gasparro Corp. 1.25 1,850.0 5,000.0 Goodson Corp 1.45 2,250.0 4,160.0 S. Momper & Co. 1.14 1,000.0 2,240.0 Marginal Tax Rate 38.0%) 38.0% E 38.0% 38.0% 38.0% Mann Median d. Calculate Buyer Co's debt-to-equity ratio e. Calculate Sherman Co.'s unlevered beta f. Calculate the mean debt-to-equity ratio for the comparable companies g. Calculate the mean unlevered beta for the comparable companies h. Using the mean unlevered beta for the comparable companies, determine ValueCo's relevered beta ValueCo Relevered Beta Mean Unlevered Beta Relevered Beta Target Debu Equity..... Target Marginal Tax Rate Relevered Beta i. Calculate ValueCo's cost-of-equity Cost of Equity Risk-free Rate Market Risk Premium Levered Beta Size Premium Cost of Equity j. Calculate ValueCo's WACC WACC Calculation Target Capital Structure Debt-to-Total Capitalization Equity-to-Total Capitalization Cost of Debt Cost-of-Debt Tax Rate After-tax Cost of Debt Cost of Equity Risk-free Rate Market Risk Premium Levered Beta Size Premium Cost of Equity WACC