Question: Intro Munich Re Inc. is expected to pay a dividend of $4.82 in one year, which is expected to grow by 4% a year forever.

Intro Munich Re Inc. is expected to pay a dividend of $4.82 in one year, which is expected to grow by 4% a year forever. The stock currently sells for $72 a share. The before-tax cost of debt is 6% and the tax rate is 34%. The target capital structure consists of 50% debt and 50% equity. Part 1 - Attempt 1/1 for 10 pts. What is the company's weighted average cost of capital? 3+ decimals Submit

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