If the corporate tax rate is 31 what is the weighted


The current stock price for a company is $30 per share, and there are 3 million shares outstanding. The beta for this firms stock is 1.3, the risk-free rate is 4.6, and the expected market risk premium is 5.6%. This firm also has 60,000 bonds outstanding, which pay interest semiannually. These bonds have a coupon interest rate of 7%, 21 years to maturity, a face value of $1,000, and an annual yield to maturity of 7.5%. If the corporate tax rate is 31%, what is the Weighted Average Cost of Capital (WACC) for this firm? (Answer to the nearest hundredth of a percent, but do not use a percent sign).

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Financial Management: If the corporate tax rate is 31 what is the weighted
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