Question: Inputs for WACC (Re computed using CAPM only) LT Debt: 8000 bonds outstanding of a 5-year maturity; 1020 = PV; 5.8% = Coupon Rate(Semiannual) Common
Inputs for WACC (Re computed using CAPM only)
LT Debt: 8000 bonds outstanding of a 5-year maturity; 1020 = PV; 5.8% = Coupon Rate(Semiannual)
Common Stock: 42,000 shares outstanding; $22 price today
Preferred Stock: 9000 shares, 4.5% dividend yield, $108 share price
Other CAPM Information:
ERm = 8%
Rf = 2.00%
Beta = 1.12
Tax Rate = 21%
What is the WACC (please show inputs in Excel)?
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