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E F G Refer to Question 2. Now that Anna has determined an appropriate rate of return for J Corp.'s stock, she must calculate the firm's Weighted Average Cost of Capital (WACC). There are currently 58.2 Million J Corp. common shares outstanding. Each share is currently priced at $18.01 As well, the firm has 3,000 bonds outstanding and each bond has a face value of $10,000, a yield to maturity of 3.16% and a quoted price of $10,416.60.J Corp.'s tax rate is 30%. - J Corp. has no preferred shares outstanding. Enter Answer 1 Enter your Final Answer Here 5 - What is J Corp.'s WACC? 2 (Round your answer to one one-hundredth of a percent) 3 4 Complete your rough work in the space below 6 7 8 19 20 21 22 23 24 25 26 27 Title Page A Question 1 Question 2 Question 3 Question 4 Question 6 2 Anna is a Vice President at the J Corporation. The company is considering 3 investing in a new factory and Anna must decide whether it is a feasible 4 project. In order to assess the viability of the project, Anna must first calculate s the rate of return that equity holders expect from the company stock. The 6 annual returns for J Corp. and for a market index are given below. Currently, 7 the risk-free rate of return is 2.2% and the market risk-premium is 4.6% 8 9 a) What is the beta of J Corp.'s stock? 10 (1 Mark(Round your answer to two decimal places) b) Using the CAPM model, what is the expected rate of return on J Corp. stock for the 11 coming year? 12 (2 Marks Round your answer to one one-hundreth of a percent) J Corp. Market 13 Retum (%) Return (%) 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Year 1 2 3 4 5 6 7 8 9 10 11 12 -5.03 9.34 10.54 6.54 -8.71 12.88 20.92 10.86 8.25 10.14 -3.46 -2.31 -6.80 11.16 12.66 7.66 -11.40 15.59 25.64 13.06 9.80 12.16 -4.84 -3.40 Complete your rough work in the space below Title Page Question 1 A Quostion 2 Question 3 Question 4 Question 5