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Q: What is the WACC using the info below? Weights Total Market Value of the Firm = Total Value of Debt + Total Value of

Q: What is the WACC using the info below?

Weights Total Market Value of the Firm = Total Value of Debt + Total Value of CS + Total Value of PS

Total Market Value of the Firm =$17,920,000

Weight of Debt wd= Value debt / value of the firm 0.406250

Weight of CS wc= value of common stock / value of the firm 0.549107

Weight of PS wp= value of preferred stock / value of the firm 0.044643

Tax Rate (T) 35%

rs = 12.9%

rp = 10.31%

rd = 7.61%

WACC = wc* rs+ wp* rp+ wd* rd* (1-T) WACC =WACC =?%

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