I am working on a case study concentrating specificially on Cost of
Capital for Citigroup (NPYS: C).  I will need formulas and links to
resources that support this research.  To assist in the answer please
use the following template.

1)    Calculate the cost of capital for the company using:

      a)WACC and b)Capital-asset pricing model (beta). 

      Show calculations and explain source of figure.  

2)      Discuss the relative strengths and weaknesses of the methods
above as to the appropriate discount rate for the firm.

3)      Describe why these two methodologies may produce different results. 
4)      Identify specific reasons why the cost of capital may differ
among the selected companies. What does this say about their past
financial performances and future prospects?

5)      How would you recommend that the firm lower its cost of capital?

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Clarification of Question by iflwbyu-ga on 16 Nov 2004 17:15 PST

I just wanted to clarify that this is a financial analysis rather than
a case study in case it makes a difference on the expected answer.