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Cream and Crimson Foods has a target capital structure of calling for 43.00 percent debt, 5.00 percent preferred stock, and 52.00 percent common equity (retained

Cream and Crimson Foods has a target capital structure of calling for 43.00 percent debt, 5.00 percent preferred stock, and 52.00 percent common equity (retained earnings plus common stock). Its before-tax cost of debt is 11.00 percent. The tax rate is 40.00%. Its cost of preferred stock is 11.70%. Its cost of common equity is 13.53%.

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