Question: please help with this question 5.2 and 5.3 QUESTION FIVE 51 Paul Ltd 120) forms of capital funding Lease o f capital funding Issued share

please help with this question 5.2 and 5.3
QUESTION FIVE 51 Paul Ltd 120) forms of capital funding Lease o f capital funding Issued share capital Bonds butatble Mortgage bonds REQUIRED: Based on book values, show in detail the amounts financed by equity and the amounts financed by debt as well as the total capital funding. Then caiculate the capital structure and provide the debt: equity ratio 5.2 The cost of equity can be determined by the Capital Asset Pricing Model (CAPM) Supply the formula of the CAPM and name the two elements that the expected rate of return required by ordinary shareholders essentially comprises of The following is an extract from Trouble Limited's statement of financial position a at 31 August 2016. The given rate in (in the table below) for the debt funding after-tax rates 5.3 is 1 000 000 R20 500 000 Ordinary shares issued Market value of debentures at 1 1% Trouble Ltd. has a beta of 0.9, a risk-free rate of 7% and a market risk premium of 6.5%. Their shares are currently trading at R82.30 per share. REQUIRED: Calculate the weighted average cost of capital (WACC) for Trouble Limited by using the WACC formula. The cost of equity should be calculated by using the CAPM (round to full percentage) (10) End of Financial Management assignment
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