Question: Please give me a heads up on: - Weighted Average Cost of Capital (WACC) of Facebook: What is its most recent capital structure. With your

Please give me a heads up on: - Weighted Average Cost of Capital (WACC) of Facebook:

What is its most recent capital structure.

With your best effort, calculate the WACC of Facebook.

Use the YTM found in the bond rating section for cost of debt.

Do not forget to account for taxes.

It is suggested that you use a 35% tax bracket.

Use your CAPM for the cost of stock. You can use Morningstar for the weight of the capital structure.

Overview:

Provide a summary and overview of Facebook.

What are Facebooks major weaknesses and strengths?

Given what you see with just these numbers, would you invest money in Facebook?

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