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I need help with this question. You are given the following information for Huntington Power Co. Assume the company's tax rate is 22 percent. 9,000
I need help with this question.
You are given the following information for Huntington Power Co. Assume the company's tax rate is 22 percent. 9,000 4.7 percent coupon bonds outstanding, $2,000 par value, 22 years to maturity, selling for 104 percent of par; the bonds makee semiannual payments. Deb ommon stock; 415,000 shares outstanding, selling for $65 per share; the beta is .90 . 7 percent market risk premium and 3 percent risk-free rate. What is the company's WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)Step by Step Solution
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