Pfd company has debt with a yield to maturity of 56 a cost


Question: Pfd Company has debt with a yield to maturity of 5.6 %, a cost of equity of 13.5 %, and a cost of preferred stock of 8.7%. The market values of its debt, preferred stock, and equity are $9.6 million, $2.9 million, and $15.9 million, respectively, and its tax rate is 35%. What is this firm's after-tax WACC? two decimal places.

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Finance Basics: Pfd company has debt with a yield to maturity of 56 a cost
Reference No:- TGS02825815

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