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Assignment:Based on the information provided below, compute the Weighted Average Cost of Capital (CO 7). Acme International Capital Sources Required Return rates Common Stock and
Assignment:Based on the information provided below, compute the Weighted Average Cost of Capital (CO 7).
Acme International Capital Sources | Required | ||
Return rates | |||
Common Stock and Retained Earnings | $ 400,000 | 8% | |
Preferred Stock | $ 100,000 | 7% | |
Corporate Bonds | $ 300,000 | 10% | |
Corporate tax rate | 35% | ||
Instructions:Prepare the homework in Microsoft Word or Excel format. Save your assignment file as 'LastnameFirstinitial-FINC300-6, and submit by 11:55 pm ET, Day 7 (Sunday).
Your assignment will be graded according to the following Grading Rubric:
Grade | Homework Problems Grading Criteria |
90-100% |
|
80-89% |
|
70-79% |
|
60-69% |
|
0-59% |
|
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