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Cant Find WACC? You are given the following information for Watson Power Co. Assume the company's tax rate is 21 percent. Debt 21,000 7 percent

image text in transcribedCant Find WACC?

You are given the following information for Watson Power Co. Assume the company's tax rate is 21 percent. Debt 21,000 7 percent coupon bonds outstanding, $1,000 par value, 22 years to maturity, selling for 108 percent of par; the bonds make semiannual payments. Common stock: 540,000 shares outstanding, selling for $72 per share; the beta is 1.18 Preferred stock 24,000 shares of 4.8 percent preferred stock outstanding, currently selling for $93 per share. The par value is $100 per share. Market: 5 percent market risk premium and 5.3 percent risk-free rate. What is the company's WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) WACC

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