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Caspian Sea Drinks' is financed with 64.00% equity and the remainder in debt. They have...

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Finance

Caspian Sea Drinks' is financed with 64.00% equity and the remainder in debt. They have 11.00-year, semi-annual pay, 5.19% coupon bonds which sell for 97.49% of par. Their stock currently has a market value of $25.23 and Mr. Bensen believes the market estimates that dividends will grow at 3.19% forever. Next years dividend is projected to be $2.82. Assuming a marginal tax rate of 20.00%, what is their WACC (weighted average cost of capital)?

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