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OMG Incorporated has 4 million shares of common stock outstanding, 3 million shares of preferred stock outstanding, and 5 , 0 0 0 bonds. Suppose

OMG Incorporated has 4 million shares of common stock outstanding, 3 million shares of preferred stock outstanding, and 5,000 bonds. Suppose the common shares are selling for $26 per share, the preferred shares are selling for $25 per share, and the bonds are selling for 109 percent of par.
What weight should you use for debt in the computation of OMGs WACC?

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