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please show all work and formulas You are given the following information for Huntington Power Co. Assume the company's tax rate is 24 percent. Debt:
please show all work and formulas
You are given the following information for Huntington Power Co. Assume the company's tax rate is 24 percent. Debt: 21,000 4.9 percent coupon bonds outstanding, $2,000 par value, 24 years to maturity, selling for 106 percent of par; the bonds make semiannual payments. Common stock: 425,000 shares outstanding, selling for $67 per share; the beta is.92. Market: 6 percent market risk premium and 3.2 percent risk-free rate. What is the company's WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)Step by Step Solution
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