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2. WACC, WMCr, and IOS Cartergll products has compiled the data shown in the following table for the current costs of its three basic sources
2. WACC, WMCr, and IOS Cartergll products has compiled the data shown in the following table for the current costs of its three basic sources of capital-long term debt, preferred stack and common stock equity-for various ranaes of new financinz. The company's capital structure weights used in calculating its WACC are shown in the following table. a. Determine the break points and ranges of new financing of total new financing associated with each source of capital. b. Using the data developed in part (a), determine the break points (levels of new financing) at which the firm's WACC will change. c. Calculate the WACC for each range of total new financing found in part (b) (hint: There are three). d. Using the results of part (c), along with the following information on available investment opportunities, draw the firm's weighted marginal cost of capital (WMCC) schedule and investment opportunities schedule (IOS) an the same set of axes (total new financing or investment on the x-axis and the weighted average cost of capital or IRR on the y-axis). e. Which, if any, of the available investments do you recommend that the firm accept? Explain your
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