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Given the following information: Percent of capital structure: Debt 3 5 % Preferred stock 1 5 Common equity ( retained earnings ) 5 0 Additional
Given the following information:
Percent of capital structure:
Debt
Preferred stock
Common equity retained earnings
Additional information:
Bond coupon rate
Bond yield to maturity
Dividend, expected common $
Dividend, preferred $
Price, common $
Price, preferred $
Flotation cost, preferred $
Growth rate
Corporate tax rate
Calculate the Hamilton Corporation's weighted cost of each source of capital and the weighted average cost of capital.
Note: Do not round intermediate calculations. Input your answers as a percent rounded to decimal places.
Debt:
Preferred Stock
Common equity
Weighted average cost of capital
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