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Adjusted WACC. Lewis runs an outdoor adventure company and wants to know what effect a tax change will have on his company's WACC. Currently, Lewis

Adjusted WACC.

Lewis runs an outdoor adventure company and wants to know what effect a tax change will have on his company's WACC. Currently, Lewis has the following financing pattern:

Equity:39% and cost of 14.23%

Preferred stock: 12% and cost of 10.52%

Debt: 49% and cost of 9.4% before taxes

What is the adjusted WACC for Lewis if the tax rate is

a.35%?

b.25%?

c.20%?

d.10%?

e.0%?

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