Question: how to do this question? ABC Ltd has the following capital structure: 60,000 shares outstanding, trading at $4.50 each $80,000 worth of bonds, trading at

how to do this question?

ABC Ltd has the following capital structure: 60,000 shares outstanding, trading at $4.50 each $80,000 worth of bonds, trading at 102% of par Bonds have a coupon rate of 5.5%, paid annually, and mature in 10 years Tax rate is 30% Beta of equity = 1.2 Risk-free rate = 3% Market risk premium = 6%

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