The NOI Approach. Assume the same data as given in Problem 11.4. (a) Using the net operating income (NOI) approach and an overall cost of capital of 12 percent; (1) compute the total value, the stock...

The NOI Approach. Assume the same data as given in Problem 11.4. (a) Using the net operating income (NOI) approach and an overall cost of capital of 12 percent; (1) compute the total value, the stock market value of the firm, and the cost of equity; and (2) determine the firm’s market debt/equity ratio. (b) Determine the answer to (a) if the company were to sell the additional $10 million in debt, as in Problem 11.4(b).