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a. Calculate the cost of capital assuming use of internally generated funds. Internal capital cost b. Calculate the cost of capital assuming use of externally
a. Calculate the cost of capital assuming use of internally generated funds. Internal capital cost b. Calculate the cost of capital assuming use of externally generated funds. % External capital cost c. This part of the question is not part of your Connect assignment. do % a. Calculate the cost of capital assuming use of internally generated funds. Internal capital cost b. Calculate the cost of capital assuming use of externally generated funds. % External capital cost c. This part of the question is not part of your Connect assignment. do % Problem 11-26 Given the following information, calculate the weighted average cost of capital for Puppet Corporation. (Round intermediate calculations to 2 decimal places. Round the final answers to 2 decimal places.) Percent of capital structure: Debt 30% Preferred stock As 60 Common equity 10 Additional information: Bond coupon rate 8.5% Bond yield 8.25% Bond flotation cost 2% Dividend, expected common Price, common Dividend, preferred Flotation cost, preferred Flotation cost, common Corporate growth rate Corporate tax rate $2.00 $32.00 7% 3% 4.50% 5% 35%
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