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What is fry wacc

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Your friend Toni, is interning in the CFO's office at Frys. Shares of Frys are currently trading at $22, and the firm has 800 million shares outstanding. Toni estimates that Frys beta is 1.04; the current yield-to-maturity on T-Bills is 1.7%, and the return on the market is 11.2%. Further, market value of Frys' long-term debt is $9.5 billion and has a yield-to-maturity of 7%. Fry's marginal tax rate is 35%.

Problem 1: What is Fry's WACC?

Reference no: EM132663767

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