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Mullineaux Corporation has a target capital structure of 48 percent common stock and5 percent preferred stock, with the remaining percent in debt. Its cost of
Mullineaux Corporation has a target capital structure of 48 percent common stock and5 percent preferred stock, with the remaining percent in debt. Its cost of equity is 11 percent, the cost of preferred stock is 3 percent, and the pretax cost of debt is 5 percent. The relevant tax rate is 36 percent. What is Mullineaux's WACC?
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