ttps:/deltastate.instructure.com/courses/20795/quizzes/44929/ta D None of the ab
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ttps:/deltastate.instructure.com/courses/20795/quizzes/44929/ta D None of the above O We are interested in maximizing the value of the firms stock, and the stock price depends on after tax cash flows Question 12 10 pts You were hired as a consultant to Giambono Company, whose target capital structure is 40% debt, 15% preferred, and 45% common equity. The after-tax cost of debt is 6.00%, the cost of preferred is 7.50%, and the cost of retained earnings is 12.75%. The firm will not be issuing any new stock, what is its WACC? Paragraph :Explanation / Answer
WACC
=40%*6%+45%*12.75%+15%*7.5%
=9.26%
the above is the answer based on data given
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