7 Market to Book Ratio
1.00
Debt Ratio
40.00%
Dividend Payout Ratio
60.00%
Marginal Tax Rate
40.00%
Earnings Per Share
$ 4.17
Expected Net Income
$ 6,000,000,000.00
Bond Coupon Rate
8.20%
Bond Face Value
$1,000.00
Years Until Mature
20
Bond Current Price
$877.48
Current Stock Price
$28.00
Stock Flotation Charge
20.00%
a) before tax cost of debt
9.60%
9.60%
b) after tax cost of debt
5.76%
5.76%
c) cost of internal equity
15.43%
d) cost of external equity
17.79%
e) WACC using internal equity
11.56%
f) WACC using external equity
12.98%
g) break point for internal equity
$4,000,000