Question
Mullineaux Corporation has a target capital structure of 75 percent common stock and 25 percent debt. Its cost of equity is 12.1 percent, and the
Mullineaux Corporation has a target capital structure of 75 percent common stock and 25 percent debt. Its cost of equity is 12.1 percent, and the cost of debt is 6.7 percent. The relevant tax rate is 25 percent. What is the companys WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
WACC: (by Percentage)
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Fixed Income Securities Tools For Todays Markets
Authors: Bruce Tuckman, Angel Serrat
3rd Edition
0470891696, 978-0470891698
