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(Related to Checkpoint 14.1) (Weighted average cost of capitan) The target capitai struchuro for deM industries is 42 percent eormonon stock, 9 percent prelormed stock,

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(Related to Checkpoint 14.1) (Weighted average cost of capitan) The target capitai struchuro for deM industries is 42 percent eormonon stock, 9 percent prelormed stock, and 49 percent debe. if the cost of common equity for the fim is 17.9 percent, the coot of prelerted slock is 10.5 percent, the before-tax cont of debt is .4 percent, and the fremin tak nale is 35 peroent, what in Q. average cost of cagital? QM's weighed averige cost of capital is 6. (Ficund to three decimal places)

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