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The Oriole Products Co . currently has debt with a market value of $ 2 7 5 million outstanding. The debt consists of 9 percent
The Oriole Products Co currently has debt with a market value of $ million outstanding. The debt consists of percent coupon bonds semiannual coupon payments that have a maturity of years and are currently priced at $ per bond. The firm also has an issue of million preferred shares outstanding with a market price of $ per share. The preferred shares pay an annual dividend of $ Oriole also has million shares of common stock outstanding with a price of $ per share. The firm is expected to pay a $ common dividend one year from today, and that dividend is expected to increase by percent per year forever. if Oriole is subject to a percent marginal tax rate. Calculate the weights of debt, common equity, and preferred equity
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