Question: please please answer both right Problem 9 Intro Tanrun Inc. is expected to pay an annual dividend of $0.45 per share in one year. Analysts


Problem 9 Intro Tanrun Inc. is expected to pay an annual dividend of $0.45 per share in one year. Analysts expect the firm's dividends to grow by 5% forever. Its stock price is $38.3 and its beta is 0.5. The risk-free rate is 2% and the expected market risk premium is 4.5%. Part 1 IB | Attempt 1/10 for 10 pts. What is the best guess for the cost of equity? 3+ decimals Submit Problem 12 Intro Munding Corp. has debt with a market value of $23 million and equity with a market value of $52 million. Its pre-tax cost of debt is 5.2% and its cost of equity is 11%. The firm's marginal tax rate is 21%. Part 1 IB Attempt 1/10 for 10 pts. What is the company's weighted average cost of capital? B+ decimals Submit
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