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MV Corporation has debt with market value of $99 million, common equity with a book value of $100 million, and preferred stock worth $22 million
MV Corporation has debt with market value of $99 million, common equity with a book value of $100 million, and preferred stock worth $22 million outstanding. Its common equity trades at $52 per share, and the firm has 6.4 million shares outstanding. What weights should MV Corporation use in its WACC?
1. The debt weight for the WACC calculation is ___%?
2. The preferred stock weight for the WACC calculation is___%?
3. The common equity weight for the WACC calculation is ___%?
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