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TAFKAP Industries has 5 million shares of stock outstanding selling at $14 per share, and an issue of $30 million in 7.5 percent annual coupon
TAFKAP Industries has 5 million shares of stock outstanding selling at $14 per share, and an issue of $30 million in 7.5 percent annual coupon bonds with a maturity of 15 years, selling at 103 percent of par. Assume TAFKAPs weighted average tax rate is 34 percent and its cost of equity is 13.0 percent. |
What is TAFKAPs WACC? (Do not round intermediate calculations and round your final answer to 2 decimal places.) |
WACC | % |
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