WACCMarket value weights The market values and after-tax costs of various sources of capital used by Ridge Tool are shown in the following table: a. Calculate the firm's weighted average cost of capital. b. Explain how the firm can use this cost in the investment decision-making process. a. The firm's weighted average cost of capital, rg, using market value weights is %. (Round to two decimal places.) i Data Table in order to copy the contents of the data table below (Click on the icon here into a spreadsheet.) Long-term debt Preferred stock Common stock equity Market Market value $950,000 $70,000 $400,000 Individual cost 5.3% 9.6% 15.5% Print Done