Beta= 1.3
Debt to equity ratio= 0.4
Market rate of return= 11.6%
= 11.6/100
= 0.116
Tax rate= 32%
= 32/100
= 0.32
Risk free rate= 3.3%
= 3.3/100
= 0.033
Pretax cost of debt= 7.2%
= 7.2/100
= 0.072
The firm's WACC can be calacluated as follows
RS= 0.033+1.3(0.116-0.033)
= 0.033+1.3(0.083)
= 0.033+0.1079
= 0.1409
WACC= (1/1.4)(0.1409)+(2/1.4) (0.072)(1-0.32)
= (0.7142)(0.1409) + (1.4285)(0.072)(0.68)
= 0.1006+0.0699
= 0.1705(100)
= 17.05%
Hence the firm's WACC is 17.05%
Answer:
Five thousand one hundred twenty nine and three hundred forty thousandths.
I believe that should be right!
You can type the equation on safari and get the exact graph easily
Answer:
y = -
x
Step-by-step explanation:
The equation of a line in slope- intercept form is
y = mx + c ( m is the slope and c the y- intercept )
rearrange 4x - 3y = 3 into this form
subtract 4x from both sides
- 3y = - 4x + 3 ( divide all terms by - 3 )
y =
x - 1 ← in slope- intercept form
with slope m = 
Given a line with slope m then the slope of a line perpendicular to it is
= -
= -
= - 
y = -
x + c ← is the partial equation
To find c substitute (- 4, 3) into the partial equation
3 = 3 + c ⇒ c = 3 - 3 = 0
y = -
x ← equation of line