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2. A company's current cost of capital is based on: (2 points) O only the return required by the company's current shareholders. the current market

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2. A company's current cost of capital is based on: (2 points) O only the return required by the company's current shareholders. the current market rate of return on equity shares. O both the returns currently required by its debtholders and stockholders. the company's original debt-equity ratio. the weighted costs of all future funding sources. 4. Bakers Town Bread is selling 1.500 shares of stock through a Dutch auction. The bids received are as follows 200 shares $18 a share, 400 shares at $16, 700 shares at $14, 400 shares at $11, and 200 shares at $10 a share. How much cash will the company receive from selling these shares of stock? Ignore al transaction and flotation costs. 2 Points) $16.500 $18.200 517.500 $19.500 $19.000 5. Shelf registration allows a firm to register multiple issues at one time with the SEC and then sell those registered shares anytime during the subsequent: (1 Point) 6 months 3 months 5 years 0 2 years 180 days 6. Delta Lighting has 24,500 shares of common stock outstanding at a market price of $19 a share. This stock was originally issued at $21 per share. The firm also has a bond issue outstanding with a total face value of $150,000 which is selling for 94 percent of par. The cost of equity is 12.6 percent while the aftertax cost of debt is 5.8 percent. The firm has a beta of 1.33 and a tax rate of 23 percent. What is the weighted average cost of capital? (2 Points) 10.13 percent 12.36 percent 10:55 percent 12:47 percent 110 percent

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