Cruiseliners, Inc. has 230,000 shares of common stock outstanding at a market pr

Question

Cruiseliners, Inc. has 230,000 shares of common stock outstanding at a market price of $40 a share.
Next quarter, Cruiseliners' is expected to pay an annual dividend in the amount of $1.80 per share.
The dividend growth rate is 3 percent. Cruiseliners' also has 8000 bonds outstanding with
a face value of $1000 per bond. The bonds carry a 9 percent coupon, pay interest annually, and mature in 5.093 years. The bonds are selling at 102 percent of face value. The company's tax rate is 35 %.
What is their WACC.
a)5.4 % b)6.6% c)7.% d)8.5% e)9.6%

My answer was B) 6.6% can you please tell me if that is correct.
Also when they say they are paying a dividend next quarter that means that dividend is
D1 right ??

Explanation / Answer

yes its right b)6.6%

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