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Petro ASA has 3 million shares outstanding. The stock is priced at 50 NOK per...

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Finance

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Petro ASA has 3 million shares outstanding. The stock is priced at 50 NOK per share, and the company's debt is worth 80 MNOK. The company pays its bondholders E interest. The stock of the company has a beta of 1.25. The risk-free rate is 4% and market risk premium is 8%. The company pays 27% tax. What is the company's weighted average cost of capital (WACC)? A 10.65%. B. 12.00% C 14.59% D 15.45%

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