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Given the following information. Percent of capital structure: Debt 3 5 % Preferred stock 1 0 Common equity 5 5 Additional information: Bond coupon rate

Given the following information.
Percent of capital structure:
Debt 35%
Preferred stock 10
Common equity 55
Additional information:
Bond coupon rate 13%
Bond yield 11%
Dividend, expected common $3.00
Dividend, preferred $10.00
Price, common $50.00
Price, preferred $98.00
Flotation cost, preferred $5.50
Corporate growth rate 8%
Corporate tax rate 30%
Calculate the weighted average cost of capital for Genex Corporation. Line up the calculations in the order shown in Table 111.(Round intermediate calculations to 2 decimal places. Round the final answers to 2 decimal places.)
Weighted Cost
Debt (Kd)%
Preferred stock (Kp)
Common equity (Ke)
Weighted average cost of capital (Ka)%

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