This is a Finance Group Assignment. However, you only need to write the required 4. The Guide is in the file. Please read it first and follow the requirement. We choose the Company Treasury Wine Estate. The risk Free we choose 10 years and 2.73 percent. The formula is rd= Risk Free Interest rate (rf) + Yield spread. Please provide whole process such as calculate and analyze. And then write about 1 page 1.5 space.
This is required 4: Assuming the debt securities issued by the company are considered to have a credit rating of A, determine an appropriate required rate of return to be used for the firm’s debt (you may need to rely of US credit spreads to determine this value). Justify the choices you have made in determining this number.