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Use the following data for the next 5 questions: Debt Common Stock Preferred Stock Market Tax Rate 42,000 bonds with a 5.0% coupon rate, payable
Use the following data for the next 5 questions: Debt Common Stock Preferred Stock Market Tax Rate 42,000 bonds with a 5.0% coupon rate, payable annually, 15 years to maturity, selling at $1,050 per bond. a. 10.04 % b. 12.00% c. 13.65 % d. 9.40% e. 15.78 % 871,000 shares of common stock outstanding. The stock sells for a price of $49 per share and has a beta of 0.68. 220,000 preferred shares outstanding, currently trading at $65.93 per share; with an annual dividend payment of $8.09, The market risk premium is 20% and the risk free rate is 7% 21% What is the weighted average cost of capital? (Answer as a percentage and round to 2 decimals)
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