Question
W4Q11 Mullineaux Corporation has a target capital structure of 60 percent common stock and 40 percent debt. Its cost of equality is 16 percent, and
W4Q11 Mullineaux Corporation has a target capital structure of 60 percent common stock and 40 percent debt. Its cost of equality is 16 percent, and the cost of debt is 10 percent. The relevant tax rate is 35 percent. What is the company's WACC? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places.
WACC %
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International Financial Management
Authors: Geert Bekaert, Robert Hodrick
3rd edition
1107111820, 110711182X, 978-1107111820
