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Calculate the WACC for Miracle Inc. knowing that the total book value of the firm's equity is $10 million; the book value per share is
Calculate the WACC for Miracle Inc. knowing that the total book value of the firm's equity is $10 million; the book value per share is $20. The stock sells for a price of $30 per share, and the cost of equity is 15%. The firm's bonds have a par value of $5 million and sell at a price of 110 percent of par. The yield to maturity on the bonds is 9 percent and the firm's tax rate is 30%.
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