Given the following information, find the WACC for Spencer's Book Shop.

$1$ pts

preferred; $60\%$ common equity

Target capital structure

Market value per share, common.

Market value per share, preferred.

$30\%$ debt; $10\%$

Last annual dividend $(D_0),$ common

Annual Dividend preferred.

$$25\mathrm{.}00$

$$20\mathrm{.}00$

$$2\mathrm{.}50$

Dividend growth rate $(g)$

$$2\mathrm{.}00$

Marginal tax rate

$5\%$

Yield to maturity on outstanding bonds $9\%$

For this problem, assume that floatation costs for common, preferred, and debt are all zero.

$11\mathrm{.}50\%$

$11\mathrm{.}62\%$

$11\mathrm{.}92\%$

$12\mathrm{.}95\%$

Given the following information, find the WACC for Spencer's Book Shop.

$1$ pts

preferred; $60\%$ common equity

Target capital structure

Market value per share, common.

Market value per share, preferred.

$30\%$ debt; $10\%$

Last annual dividend $(D_0),$ common

Annual Dividend preferred.

$$25\mathrm{.}00$

$$20\mathrm{.}00$

$$2\mathrm{.}50$

Dividend growth rate $(g)$

$$2\mathrm{.}00$

Marginal tax rate

$5\%$

Yield to maturity on outstanding bonds $9\%$

For this problem, assume that floatation costs for common, preferred, and debt are all zero.

$11\mathrm{.}50\%$

$11\mathrm{.}62\%$

$11\mathrm{.}92\%$

$12\mathrm{.}95\%$