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MV Corporation has debt with market value of $103 million, common equity with a book value of $96 million, and preferred stock worth $18 million
MV Corporation has debt with market value of $103 million, common equity with a book value of $96 million, and preferred stock worth $18 million outstanding. Its common equity trades at $48 per share, and the firm has 5.5 million shares outstanding. What weights should MV Corporation use in its WACC?
The debt weight for the WACC calculation is:
The preferred stock weight for the WACC calculation is:
The common equity weight for the WACC calculation is:
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