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33 WACC = (E/V) * Re+ (D/V) *Rd * (1-TC) 34 Solve this: 85 A firm has the following data: 86 Total Equity _87 Total

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33 WACC = (E/V) * Re+ (D/V) *Rd * (1-TC) 34 Solve this: 85 A firm has the following data: 86 Total Equity _87 Total Debt 188 Re 189 Rd 190 Corporate Tax Rate 191 What is their WACC? $8,000 $2,000 12.50% 6% 30% 192 193 194 195 If Preferred Stock is involved: 196 WACC = (E/V) * Re +(P/V) *Rp + (D/V) *Rd * (1-Tc) 197

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