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OO OO O You were hired as a consultant to Giambono Company, whose target capital structure is 60% debt, 15% preferred, and 25% common equity.

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OO OO O You were hired as a consultant to Giambono Company, whose target capital structure is 60% debt, 15% preferred, and 25% common equity. The after-tax cost of debt is 6.00%, the cost of preferred is 7.00%, and the cost of retained earnings is 16.00%. The firm will not be issuing any new stock. What is its WACC? a. 4.65% b. 7.60% c9.67% d.5.05% Oe. 8.65% OO

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