Consider a company with debt of $600,000, preferred stock valued at $300,000 and common stock value valued at $1,000,000. The firm's tax rate is 30%. Cost of debt is 5%, returns on preferred stock are 8%, and returns on common equity are 17%.

a). What is the company's WACC?

b). What does this value represent?

c). A company has the opportunity to accept a project that is in the normal course of business for the company. They project a cost of capital of 15%. Would this project be a good investment? Why or why not?