Book value versus market value components. The CFO of DMI is trying to determine the company's WACC. Brad, a promising MBA, says that the company should use book value to assign the WACC components' percentages. Angela, a long-time employee and experienced financial analyst, says that the company should use market value to assign the components' percentages. The after-tax cost of debt is at 9.5%, the cost of preferred stock is at 13.64%, and the cost of equity is at 16.81%. Calculate the WACC using both the book value and the market value approaches with the information in the popup window: II. Which do you think is better? + What is the book value adjusted WACC for DMI? 1% (Round to two decimal places.) Data table $0 $56,000 Click on the icon in order to copy its content into a spreadsheet. DMI Balance Sheet ($ in thousands) Current assets $32,980 Current liabilities Long-term asets $68,020 Long-term liabilities Bonds payable Owners' equity Preferred stock Common stock Total liabilities and Total assets $101,000 owners' equity $13,000 $32,000 $101,000 Click on the icon in order to copy its content into a spreadsheet Market Information Debt Preferred Stock Outstanding 56,000 130,000 Market Price $986.65 $95.44 Common Stock 1,280,000 $34.77 Print Done