Using the data given for Clorox, what is the full year YTM of the bond? Use the RATE formula in Excel but note that the bond pays semi-annually. 2.82% 4.1% OB. 5.64% . 5.88% OD. Clorox Clorox wants to pursue a project that will broaden the markets in which they currently participate. They want to know what they should use for a hurdle rate or WACC (weighted average cost of capital). You get the following information from their accountant: The dividend growth rate is expected to be 2.2% a year. Preferred stock sells for $178 and pays an annual dividend of $21. There are currently 20 year 5.77% coupon bonds, with a face value of $1,000, that pay semi- annual payments and are non-callable available at a price of $1,015.25. The bond-yield risk premium is 3%. The current risk free rate is .2% and the market risk premium is 5.7%. Clorox has a target capital structure of 30% debt, 7% preferred stock and 63% common equity. Clorox has a current stock price of $205.44 per share. The stock has a Beta of 56 and pays a dividend of $3.84 per year. Clorox has a tax rate of 20% Using the data given regarding Clorox, what is their after tax cost of debt? 1.8996 . 2.42% . 3.77% OC. 4.51% OD. rt Using the Clorox information provided, what is the cost of their preferred stock? 12.16% . 11.8% . 8.22% OC. 5.31% OD. Using the Clorox information provided, what is their cost of common equity using the CAPM method? 1.05% OA. 2.27% OB. 3.39% . 5.94% OD 5 points Save