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Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at rd = 10%, and its common stock currently pays
Hook Industries's capital structure consists solely of debt and common equity. It can issue debt at rd = 10%, and its common stock currently pays a $2.50 dividend per share (Do = $2.50). The stock's price is currently $22.00, its dividend is expected to grow at a constant rate of 9% per year, its tax rate is 25%, and its WACC is 13.30%. What percentage of the company's capital structure consists of debt? Do not round intermediate calculations. Round your answer to two decimal places. % Determine the value at the end of five years of a $15,000 investment (today) in a bank certificate of deposit (CD) that pays a nominal annual interest rate of 8 percent, compounded under either of the following three terms. Round your answers to the nearest cent. a. Semiannually b. Quarterly C. Monthly $
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