By Dite Google Diner Untitled document - Google Doc X ormat Tools Add-ons Hel stedit was seconds ago Normal text Arial 12 + BTUACD IE 1. Taggart Inc.'s stock has a 25% chance of producing a 20% return, a 50% chance of producing a 10% return, and a 25% chance of producing a -25% return. What is the firm's expected rate of return? 2. Tom O'Brien has a 2-stock portfolio with a total value of $100,000 $37,500 is invested in Stock A with a beta of 0.80 and the remainder is invested in Stock B with a beta of 1.20. What is his portfolio's beta? 3. Sadik Inc.'s bonds currently sell for $1,215.97 and have a par value of $1,000 They pay a $100 annual coupon and have a 15-year maturity, but they can be called in 5 years at $1,200. What is their yield to call (YTC)? 4. Cheng Inc. is considering a capital budgeting project that has an expected return of 15% and a standard deviation of 25% What is the project's coefficient of variation? 5. A stock is expected to pay a dividend of $1.00 at the end of the year. The retired rate of return, r, is 10.00, and the expected growth rate, g, is 6.0%. What is the stock's current price? 6. Mooradian Corporation's free cash flow during the just-ended year (t = 0) was $250 million, and its FCF is expecfed to grow at a constant rate of 4.0% in the future. If the weighted average cost of capital is 12.0%, what is the firm's total corporate value, in millions? 7. What is the cost of new funds raised by issuing debt given the information given here? 9. Use the following information to calculate each component of the weighted average cist if capital use the following information as appropriate Marginal corporate tax rate 25% 8. 10 O 5