Question
The common stock and debt of Windows Phone Corp. are valued at $54 million and $24 million, respectively. Investors currently require a 10% return on
The common stock and debt of Windows Phone Corp. are valued at $54 million and $24 million, respectively. Investors currently require a 10% return on the common stock and a 5% return on the debt. There are no taxes.
Calculate the weighted average cost of capital. Enter your answer as a percentage. Do not include the percentage sign in your answers. Enter your answer rounded to 2 DECIMAL PLACES.
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Analysis For Financial Management
Authors: Robert Higgins, Jennifer Koski, Todd Mitton
13th Edition
1260772365, 978-1260772364
