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Answer each question.. 1.Pick a stock that pays a dividend. How much is the dividend? What is the dividend percentage compared to the current stock

Answer each question..

1.Pick a stock that pays a dividend. How much is the dividend? What is the dividend percentage compared to the current stock price? Tell me more about this stock that you picked.

2.You stated that "The main elements in calculating the cost of capital are debt, equity and preferred stock. The first step in calculating cost of capital is to evaluate the firm's mix of debt and equity. " Please expand more on this statement. Please tell me more about the required rate of return.

You stated that "As debt increases it causes the firm's equity to become more risky. When identifying the optimal cost of capital for an organization there are factors to consider such as overall cost of capital of the company, cost of debt, markets, and preferred stock." Expand more on the topic of risks.

FYI: Lets talk about the WACC. The optimal capital structure relates to the cost of capital and the WACC. The right combination of how a company is financed: x percentage of common stock, x percentage of preferred stock and x percentage of common stock is called the optimal capital structure.

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