Finding the wacc what is the firms capital structure share


Finding the WACC: Titan Mining Corporation financial structure includes 9.3 million shares of common stock outstanding and 260,000 $1,000 par value 6.8 percent coupon bonds. Their common stock currently sells for $34 per share and has a ? of 1.20. Their bonds have 20 years to maturity and sell for 104 percent of par. Titan Mining Corporation pays a tax rate of 35 percent. Return on the market portfolio is 10.5 percent and return on the risk-free investment is 3.5 percent. What is the firms' capital structure share weights relevant for purposes of valuation? None of these values are correct. equity = 0.5390, debt = 0.4610 equity = 0.5839, debt = 0.4161 equity = 0.5488, debt = 0.4512.

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Financial Management: Finding the wacc what is the firms capital structure share
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