lings Review View Help EEEEE211 AaBbCcDd AaBbCcDd AaBb C AaBbcc AaBb C AaBBCCD Abd Normal No Spac Heading 1 Heading 2 Title Subtitle Subtle Styles Paragraph Mini case #3 Partial credit will be given if you give the wrong answer but show the correct formula. A firm has the following capital structure: 1. Bonds with market value of $3.000.000 2. Preferred Stock with a market value of $2,000,000 3. Common stock, of which 400,000 shares is outstanding. Presently, cach common stock is selling at $30 per share The preferred stock price per share is $60 and pays a 55 dividend. Common stock shares sell for $30 and pay a 52 dividend. Dividends for common stock are expected to grow by 396. Bond price is $950, and the bond coupon rate is 6.5%. The bonds mature in 7 years. The firm's tax rate is 38%. The company has 53,500,000 in sales, and expenses of S1,200,000. The initial investment of $5,500,000 will be depreciated straight-line over 10 years. The project is expected to last 10 years. 1. What is the firm's Weighted Average Cost of Capital (WACC)? 2. What is the firm's Operating Cash Flow (OCF)? T. framewton / above 3. Using the WACC is the NPV, using the WACC we the and OCF e them from question 2 above? 4Based on your warto tion would you accept or reject the project Explain