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Your firm has a target capital structure of 5 0 % debt, 4 0 % equity, and 1 0 % preferred stock. The aftertax cost

Your firm has a target capital structure of

50 %

debt,

40 %

equity, and

10 %

preferred stock. The aftertax cost of debt is

5.5 %,

cost of equity is

11 %,

and cost of preferred stock is

5 % .

What is the WACC?

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