Question: answer with fourmla not excel please Question 2 9 points Seve Zietlow Corporation has 2.11 million shares of common stock outstanding with a book value
Question 2 9 points Seve Zietlow Corporation has 2.11 million shares of common stock outstanding with a book value per share of 455 with a recent divided of 6.25. The fim's capital also includes 2900 shares of 5.5% preferred stock outstanding with a par value of 100 and the firms debt include 2250 4.5 percent quarterly bonds outstanding with 35 years maturity issued five years ago. The current trading price of the preferred stock and bonds are 102% of its par value and comomon stock trades for 155 with a constant growth rate of 6%. The bets of the stock is 1.13 and the market risk premium is 7%. Calculate the after txx Weighted Avergse Cost of Capital of the fem assuming a tax rate of 30% (Must show the steps of calculation) For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac) B IVS *** Paragraph V Arial Y 10pt IXO QE V E AV BO + 50 v 3800 X X 12
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