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Bondmaturity: 7 years. Coupon: 4.4% paid semi-annually. Price: $1,020 with par value of $1000. Tax rate: 35%. What is the before-and after-tax cost of debt?

Bondmaturity: 7 years. Coupon: 4.4% paid semi-annually. Price: $1,020 with par value of $1000. Tax rate: 35%. What is the before-and after-tax cost of debt?

Assume a share of preferred stock with a dividend of $7 per share is selling for a market price of $105. What is the cost of preferred stock (rps)?

If a company has equity of $246million and debt of $327 million (no preferred stock), what is the weight of debt?

Weight of debt = 40%and weight of equity = 60%. Cost of debt = 7% (after-tax) and cost of equity = 14%. What is the WACC?

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