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Round to two decimal places. I added the data table Book value versus market value components. The CFO of DMI is trying to determine the

Round to two decimal places.
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I added the data table
Book value versus market value components. The CFO of DMI is trying to determine the company's WACC. Brad, a promising MBA says that the company should use book value to assign the WACC components' percentages. Angela, a long-time employee and experienced financial analyst, says that the company should use market value to assign the components' percentages. The after-tax cost of debt is at 8.1%, the cost of preferred stock is at 12.51%, and the cost of equity is at 17.14%. Calculate the WACC using both the book value and the market value approaches with the information in the popup window. Which do you think is better? What is the book value adjusted WACC for DMI? 0% (Round to two decimal places.) Data table SO $56,000 Click on the Icon in order to copy its content into a spreadsheet. DMI Balance Sheet ($ in thousands) Current assets $32,980 Current liabilities Long-term assets $68,020 Long-term liabilities Bonds payable Owners' equity Preferred stock Common stock Total liabilities and Total assets $101,000 owners' equity $15,000 $30,000 $101,000 Click on the icon in order to copy its content into a spreadsheet. Market Information Debt Preferred Stock Outstanding 56,000 150,000 Market Price $1,045.23 $98.23 Common Stock 1,200,000 $37.99 Print Done Book value versus market value components. The CFO of DMI is trying to determine the company's WACC. Brad, a promising MBA says that the company should use book value to assign the WACC components' percentages. Angela, a long-time employee and experienced financial analyst, says that the company should use market value to assign the components' percentages. The after-tax cost of debt is at 8.1%, the cost of preferred stock is at 12.51%, and the cost of equity is at 17.14%. Calculate the WACC using both the book value and the market value approaches with the information in the popup window. Which do you think is better? What is the book value adjusted WACC for DMI? 0% (Round to two decimal places.) Data table SO $56,000 Click on the Icon in order to copy its content into a spreadsheet. DMI Balance Sheet ($ in thousands) Current assets $32,980 Current liabilities Long-term assets $68,020 Long-term liabilities Bonds payable Owners' equity Preferred stock Common stock Total liabilities and Total assets $101,000 owners' equity $15,000 $30,000 $101,000 Click on the icon in order to copy its content into a spreadsheet. Market Information Debt Preferred Stock Outstanding 56,000 150,000 Market Price $1,045.23 $98.23 Common Stock 1,200,000 $37.99 Print Done

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