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You have gathered the following information: Debt: The firm has 1 2 , 0 0 0 bonds with a 4 . 6 percent coupon outstanding,
You have gathered the following information:
Debt: The firm has bonds with a percent coupon outstanding, $ par value, years to maturity, currently selling for $ The bonds make annual coupon payments.
Common stock: shares outstanding, currently selling for $ per share, the stock's beta is
Preferred stock: shares that pay a $ annual dividend and currently trade at $ per share. The market risk premium is and the riskfree rate is The firm's marginal tax rate is
What is the percentage of the firms capital financed by debt, common equity, and preferred stock, respectively?
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