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1. Calculate WACC given the following information. Total Value of Common Stocks (CS) $800,000 Cost of Equity (common stocks) 0.19 Total Value of Preferred Stocks

1. Calculate WACC given the following information.

Total Value of Common Stocks (CS) $800,000 Cost of Equity (common stocks) 0.19
Total Value of Preferred Stocks (PS) $100,000 Cost of Preferred stock 0.13
Total Value of Debt (D) $300,000 Pre-tax Cost of Debt 0.08
Tax rate (t) 0.4

11.39%

14.95%

19.42%

17.09%

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