Mathematics, 04.12.2019 17:31, maggiegoodenough62
Du telecom went public by issuing 2 million shares of common stock. the current risk free rate is 5.5 %, market risk premium is 6.8 % and the company has a market risk coefficient of 1.12. during last year, du telecom issued 80,000 bonds of aed 1,000 par paying 5% coupon annually maturing in 15 years with yield to maturity approximately by 11.74. the bonds are currently trading at aed 980. the tax rate is 35%. what is weight average cost of capital (wacc) of du telecom? (marks 5)
Answers: 3
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Du telecom went public by issuing 2 million shares of common stock. the current risk free rate is 5....
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