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LAST THREE QUESTION ONLY The BEAR Company has 1.500 bonds outstanding that hove a market price of $1020 each. floatation cost is 0.022 the bond

image text in transcribed LAST THREE QUESTION ONLY

The BEAR Company has 1.500 bonds outstanding that hove a market price of $1020 each. floatation cost is 0.022 the bond pays coupon of 0.07 semiannually for 20 years. The company also has 5.000 shares of preferred stock at a market price of $33 and dividends 1-4 each. The common stock is priced at $28 a share it is undervalued by $2 and there are 36.000 shares outstanding, the stock is expected to pay $2.5 and will continue to grow at a rate of 0.06. TAXES ARE 0.35 what is the weight of the stock what is the weight of preferred stock what is the WACC

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