Question: Information Use the following information about Fox Corp. for problems A-E. Common stock: 5,000 shares outstanding, $50 per share. Fox will pay a dividend of

Information

Use the following information about Fox Corp. for problems A-E.

Common stock: 5,000 shares outstanding, $50 per share. Fox will pay a dividend of $1.50 next year and this dividend is expected to grow at 5% per year.

Bonds: 1,000 bonds outstanding, with a 3% coupon paid semiannually, 5 years to maturity, and a price quote of 101.

Preferred Stock: 1,500 shares outstanding with annual dividends of $4.00, currently selling at $100.

Fox Corp.'s tax rate is 21%.

Question A

What is Fox Corp.'s Weight of Equity?

Question B

What is Fox Corp.'s After Tax Cost of Debt?

Question C

What is Fox Corp.'s Cost of Preferred Stock?

Question D

What is Fox Corp.'s Cost of Equity?

Question E

What is Fox Corp.'s WACC?

Information

Use the following information about Fox Corp. for problems A-E.

Common stock: 5,000 shares outstanding, $50 per share. Fox will pay a dividend of $1.50 next year and this dividend is expected to grow at 5% per year.

Bonds: 1,000 bonds outstanding, with a 3% coupon paid semiannually, 5 years to maturity, and a price quote of 101.

Preferred Stock: 1,500 shares outstanding with annual dividends of $4.00, currently selling at $100.

Fox Corp.'s tax rate is 21%.

Question A

What is Fox Corp.'s Weight of Equity?

Question B

What is Fox Corp.'s After Tax Cost of Debt?

Question C

What is Fox Corp.'s Cost of Preferred Stock?

Question D

What is Fox Corp.'s Cost of Equity?

Question E

What is Fox Corp.'s WACC?

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