Question: i need help with A B C please asap Suppose Alcatel Lucent has an equity cost of capital of 9 3% market capitalization of S
Suppose Alcatel Lucent has an equity cost of capital of 9 3% market capitalization of S 1 1 20 b llon and an enterprise value of $16 billon Suppose Alcatel Lucent's debt cost of capital is 6 6% and its marginal tax rate is 33% a. What is Alcatel-Lucent's WACC? b. If Alcatel-Lucent maintains a constant debtl-equity ratio, what is the value of a project with average risk and the expected free cash flows as shown here,3 c. If Alcatel-Lucent maintains its debl-equity ratio, what is the debt capacity of the project in part (b)? a. What is Alcatel-Lucents WACC? ]% Alcatel-Lucent's WACC is[ (Round to two de Data Table (Cick on the icon copy its contents into a 2 2
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