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10) A company currently has cost of equity of 13.0% and cost of debt of 5.0%. Its WACC is 6.2%. What would you recommend to
10) A company currently has cost of equity of 13.0% and cost of debt of 5.0%. Its WACC is 6.2%. What would you recommend to finance their corporate growth over the next few years? Oa. Issue new shares of stock since they are so leveraged O b. Borrow from an insurance company Oc. Issue new bonds since the cost of debt is relatively low. d. Fund with bank loans and preferred stock O e. Issue convertible bonds
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