Question: I have all the calculations for this problem. I just need help with an intro and how to explain this problem a little more in

I have all the calculations for this problem. I just need help with an intro and how to explain this problem a little more in detail.?
Thank you  I have all the calculations for this problem. I just need

Scenario: You work for an investment banking firm and have been asked by management of Vestor Corporation (not real), a software development company, to calculate its weighted average cost of capital, to use in evaluating a new company investment. The firm is considering a new investment in a warehousing facility, which it believes will generate an internal rate of return of11.5%. The market value of Vestor's capital structure is as follows: Source of Capital Bonds Preferred Stock Common Stock Market Value $10,000,000 $2,000,000 $8,000,000 To finance the investment, vestor has issued 20 year bonds with a $1,000 par value, 6% coupon rate and at a market price of $950. Preferred stock paying a $2.50 annual dividend was sold for $25 per share. Common stock of Vestor is currently selling for $50 per share and has a Beta of 1 2. The firm's tax rate is 34%. The expected market return of the S&P 500 is 13% and the 10-Year Treasury note is currently yielding 3.5%. Determine what discount rate (WACC) Vestor should use to evaluate the warehousing facility project Assess whether Vestor should make the warehouse investment. Prepare your analysis in a minimum of 700 words in Microsoft Word

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