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Q) Suppose a firm has 17.20 million shares of common stock outstanding at a price of $38.90 per share. The firm also has 478000.00 bonds outstanding with a current price of $1,120.00. The outstanding bonds have yield to maturity 10.48%. The firm's common stock beta is 1.20 and the corporate tax rate is 39.00%. The expected market return is 13.14% and the T-bill rate is 4.75%. Compute the following: -Weight of Equity of the firm -Weight of Debt of the firm -Cost of Equity of the firm -After Tax Cost of Debt of the firm -WACC for the Firm 1a This is the $ value of the equity / Total $ Value 1b This is the $ value of the Debt / Total $ Value 1c Use the CAPM to calculate this 1d Use the tax adjusted YTM here 1e use the values computed above to calculate the WACC

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