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Calculate the WACC Value Weights Return Long-term debt 4,448,291 0.490 7.25%(1-0.30) Preference shares 625,000 0.069 8% Ordinary shares 4,000,000 0.441 10% Total 9,073,291 WACC =
Calculate the WACC
| Value | Weights | Return | ||
| Long-term | ||||
| debt | 4,448,291 | 0.490 | 7.25%(1-0.30) |
|
| Preference | ||||
| shares | 625,000 | 0.069 | 8% |
|
| Ordinary | ||||
| shares | 4,000,000 | 0.441 | 10% |
|
| Total | 9,073,291 | WACC = | ||
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American Public School Finance
Authors: William Owings, Leslie Kaplan
2nd Edition
1111838046, 978-1111838041
