Joyner Ltd has an average market cost of borrowing of 6% per year and an equity beta of 1.2. Joyner has a consistent ratio of debt to equity of 2:1 and a tax rate of 35%. The expected return on the market portfolio is 20% and the expected risk-free rate is 3%. Calculate the WACC for Joyner Ltd.

Answer rating: 100% (QA)

To calculate the Weighted Average Cost of Capital WACC for Joyner Ltd you can use the WACC form... View the full answer