Risk-Free Rate in WACC A firm has 5,000,000 shares of common stock outstanding, each with a market price of $8.00 per share. It has 25,000 bonds outstanding, each selling for $800. The bonds mature in 10 years, have a coupon rate of 8%, and pay coupons semi-annually. The firm’s equity has a beta of 1.4, and the expected market return is 15%. The tax rate is 35% and the WACC is 15%. Calculate the risk free rate.
We need at least 10 more requests to produce the solution.
0 / 10 have requested this problem solution
The more requests, the faster the answer.