Company xyzzy cost of equity is 15.35% and the average YTM on its current bonds is 7.84%.
Fantastic news! We've Found the answer you've been seeking!
Question:
Company xyzzy cost of equity is 15.35% and the average YTM on its current bonds is 7.84%. Market values of XYZ equity and debt are $4 billion and $1.1 billion. Assuming a corporate tax rate of 25%, what is the company WACC?
Posted Date: