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A firm has a long-term debt of $54,000 common equity of $94,000, and preferred stock of $16,000. What is its current capital structure? If debt
A firm has a long-term debt of $54,000 common equity of $94,000, and preferred stock of $16,000. What is its current capital structure? If debt costs 10.1 % pretax, preferred stock costs 12 % and equity costs 15.2 % what is the WACC (assuming a 40% tax rate)?
A The total value of the capital is
B The weight of the debt component is
C The weight of the preferred stock component is
D The weight of the equity component is
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