Hot Rock’s Corp., one of Google’s competitors, has issued long-term bonds with a market value of $50 million and an expected return of 9%. It has 4 million shares outstanding trading at $10 a share. At this price, the shares offer an expceted return of 17%. What is the weighted -average cost of capital (WACC) for Hot Rock’s assets and operations? Assume Hot Rocks pays no taxes. YOU MUST SHOW ALL WORK. NO CREDIT WILL BE GIVEN FOR WORK NOT SHOWN. Requirements: AA

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