ABC firm finances with a combination of a long-term debt, preferred stock, and common equity. it sets a target of 30% debt, 20% proffered stock and the rest as common equity. it shows an actual structure of 25% debt, 15% preferred stock, and 60% common equity. before taxes costs are estimated to be 10% debt, 14% preferred stock, and 5% common equity. Estimate WACC for this firm using the before tax costs.

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