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The market value of Ford's equity preferred stock and that are $8 billion $2 billion and $13 billion respectively. Ford has a beta of 1.6,
The market value of Ford's equity preferred stock and that are $8 billion $2 billion and $13 billion respectively. Ford has a beta of 1.6, The market risk premium is 7% and the risk-free rate of interest is 3%. Ford preferred stock pays a dividend of $4 each year and trades at a price of $26 per share. Fords that trades with a yield to maturity of 7.5% fords that trades with a yield to maturity of 7.5%. what is forwards weighted average cost of capital if its tax rate is 40%?
The market value of Fords' equity, preferred stock, and debt are $8 billion, $2 billion, and $13 billion respectively. Ford has a beta of 16 the market risk premium is 7%, and the risk free rate of interest is 3% Ford's preferred stock pays a dividend of $4 each year and trades at a price of $26 per share. Ford's debt trades with a yield to maturity of 7,5%. What is Ford's weighted average cost of capital if its tax rate is 40%? A. 8 82% OB. 10.58% OC. 9.26% OD 9.7% Step by Step Solution
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