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1. 2. The debt weight for the WACC calculation is %. (Round to two decimal places.) Pfd Company has debt with a yield to maturity
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The debt weight for the WACC calculation is \%. (Round to two decimal places.) Pfd Company has debt with a yield to maturity of 6.2%, a cost of equity of 13.3%, and a cost of preferred stock of 10.2%. The market values of its debt, preferred stock, and equity are $9.7 million, $2.6 million, and $15.6 million, respectively, and its tax rate is 40%. What is this firm's after-tax WACC? Pfd's WACC is \%. (Round to two decimal places.)Step by Step Solution
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