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BERLER Spaints te Consider the following balance sheet of a publicly held company Cash $760,000 Long Term Debt $7,633,500 Recenables $1.250.000 Common Stocks $14,17500 Inventories

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BERLER Spaints te Consider the following balance sheet of a publicly held company Cash $760,000 Long Term Debt $7,633,500 Recenables $1.250.000 Common Stocks $14,17500 Inventories $2.225.000 Nit Equpmere $17,575.000 is estimated that the yield to maturity on bonds are 9 The company faces a marginal tax cate of 3%. Assume that stack price of this company res such that it would sell at 125 times its beck value amount in the balance sheet) causing its cost of equity to move to 11.5% What would be the weighted average cost of capital for this f O 10.00% O 991% O 841% 0931% BERLER Spaints te Consider the following balance sheet of a publicly held company Cash $760,000 Long Term Debt $7,633,500 Recenables $1.250.000 Common Stocks $14,17500 Inventories $2.225.000 Nit Equpmere $17,575.000 is estimated that the yield to maturity on bonds are 9 The company faces a marginal tax cate of 3%. Assume that stack price of this company res such that it would sell at 125 times its beck value amount in the balance sheet) causing its cost of equity to move to 11.5% What would be the weighted average cost of capital for this f O 10.00% O 991% O 841% 0931%

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