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Rogue Rotors has debt with a market value of $350,000, preferred stock with a market value of $100,000, and common stock with a market
Rogue Rotors has debt with a market value of $350,000, preferred stock with a market value of $100,000, and common stock with a market value of $650,000. If debt has a cost of 7%, preferred stock a cost of 9%, common stock a cost of 13%, and the firm has a tax rate of 30%, what is the WACC? A. 8.64% OB. 10.06% OC. 9.12% OD. 10.88%
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Introduction to Finance Markets Investments and Financial Management
Authors: Melicher Ronald, Norton Edgar
15th edition
9781118800720, 1118492676, 1118800729, 978-1118492673
