Please give an example on how to calculate the after tax cost of debt. Please use as a guide the example on the bottom of page 414. You will need to use your own made up marginal tax rate and choose a Pre-tax cost of debt anywhere in the range of 4.6% - 6.0%. Please do not use the same numbers given on the bottom of page 414
Please give an example on how to calculate the cost of equity. Please use as a guide the example on the top of page 426. Please do not use the same numbers given on the top of page 426
Please define the WACC as discussed in Chapter 12 and explain what role the after tax cost of debt and cost of equity play in the calculation of the WACC and provide references