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(7 of 10) The CEO of XYZ Co. has demanded a new calculation of the WACC for the company. The capital structure consists of 65%

(7 of 10) The CEO of XYZ Co. has demanded a new calculation of the WACC for the company. The capital structure consists of 65% equity and 35% debt. The cost of equity is 13% and the pre-tax cost of debt is 4.5%. With a marginal tax rate of 39% what is the WACC? 11.20% 9.85% 6.75% 9.41%

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