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Based on the following information, what is the firms weighted average cost of capital of the operating assets, WACCO? Cost of debt, RD: 7% Cost

Based on the following information, what is the firms weighted average cost of capital of the operating assets, WACCO? Cost of debt, RD: 7% Cost of equity, RS: 20% Total market value of debt, D: 500 Total market value of equity, S: 1,500 Number of common shares outstanding: 100 Total market value of non-operating assets, N: 200 Cost of non-operating assets, RN: 9% Corporate tax rate, T: 40%

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