Question: please help with work shown Question Estimate the cost of equity capital and estimate the weighted-average cost of capital (WACC). prepare a table showing relevant

please help with work shown Question Estimate the cost of equity

please help with work shown

Question

Estimate the cost of equity capital and estimate the weighted-average cost of capital (WACC). prepare a table showing relevant variables

Facts and Assumptions Yield to maturity on long-term government bonds Yield to maturity on company long-term bonds Coupon rate on company long-term bonds Market price of risk, or risk premium Estimated company equity beta Stock price per share Number of shares outstanding (million) Book value of equity (million) Book value of interest-bearing debt (million) Tax rate 4.54% 6.32% 7.50% 6.30% 1.05 $25.97 681.2 $4.965 $6.674 35.0%

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