Wannalancit Inc. has the following capital components and costs. Component Value After-tax Cost Debt 25,000 10% Preferred Stock 7,500 12% Equity 50,000 14% What is
Wannalancit Inc. has the following capital components and costs.
| Component | Value | After-tax Cost |
| Debt | 25,000 | 10% |
| Preferred Stock | 7,500 | 12% |
| Equity | 50,000 | 14% |
What is Wannalancits weighted average cost of capital?
| 12.61% | ||
| 12.76% | ||
| 12.41% | ||
| 11.81% | ||
| 11.29% | ||
| 12.16% |
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Authors: Jack Kapoor, Les Dlabay, Robert Hughes
4th Edition
0078034787, 978-0078034787
