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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 35%
Preferred stock 15
Common equity (retained earnings)50
Additional information:
Bond coupon rate 15%
Bond yield to maturity 10%
Dividend, expected common $ 1.00
Dividend, preferred $ 8.00
Price, common $ 40.00
Price, preferred $ 102.00
Flotation cost, preferred $ 8.50
Growth rate 10%
Corporate tax rate 40%
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 2 decimal places.
Debt:
Preferred Stock
Common equity
Weighted average cost of capital

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