McDonalds has a bonds average yield of 7 percent and a stock beta of 0.9....
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Finance
McDonalds has a bonds average yield of 7 percent and a stock beta of 0.9. Currently, US treasury bill rates is 3 percent and world market index is 9 percent. McDonalds has total assets of $100 million and debt of $60 million, and falls within 30 percent tax bracket.
What is its cost of equity?
What is its weighted average cost of capital?
Round your answer to 4 decimal points. Do not put your answer in percentage.
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