The Patrick Company's year-end balance sheet is shown below. Its cost of common equity is 17%, its before-tax cost of debt is 10%, and its marginal tax rate is 40%. Assume that the firm's long-term debt sells at par value. The firm has 576 shares of common stock outstanding that sell for $4.00 per share. Calculate Patrick's WACC using market value weights. Round your answer to two decimal places.
| Assets |
|
Liabilities And Equity |
| Cash |
$ 120 |
|
|
|
| Accounts receivable |
240 |
|
|
|
| Inventories |
360 |
|
Long-term debt |
$1,324 |
| Plant and equipment, net |
2,160 |
|
Common equity |
1,556 |
| Total assets |
$2,880 |
|
Total liabilities and equity |
$2,880 |
Calculate Patrick's WACC using market value weights. Round your answer to two decimal places.