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a. What is the companys weighted average cost of capital using book value weights? (Do not round intermediate calculations and enter your answer as a

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a.

What is the companys weighted average cost of capital using book value weights? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

b. What is the companys weighted average cost of capital using market value weights? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
c. What is the companys weighted average cost of capital using target capital structure weights? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Williams, Inc., has compiled the following information on its financing costs: Type of Financing Book Value Market Value Cost Short-term debt $ 14,600,000 $ 13,800,000 4.0% Long-term debt 39,500,000 34,700,000 7.1 Common stock 11,600,000 93,000,000 12.9 Total $65,700,000 $141,500,000 The company is in the 23 percent tax bracket and has a target debt-equity ratio of 60 percent. The target short-term debt/long-term debt ratio is 20 percent

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