In mid-2018, Qualcomm Inc. had $ billion in debt, total equity capitalization of $ billion, and an equity beta of (as reported on Yahoo! Finance). Included in Qualcomm's assets was $ billion in cash and risk-free securities. Assume that the risk-free rate of interest is 3
and the market risk premium is .
a. What is Qualcomm's enterprise value?
b. What is the beta of Qualcomm's business assets?
c. What is Qualcomm's WACC?
In mid-2018, Qualcomm Inc. had $21 billion in debt, total equity capitalization of $79 billion, and an equity beta of 1.49 (as reported on Yahoo! Finance). Included in Qualcomm's assets was $37 billion in cash and risk-free securities. Assume that the ris