WhackAmOle has 4 million shares of common stock outstanding, 3.0 million shares of preferred stock outstanding, and 95,000 bonds. Assume the common shares are selling for $62 per share, the preferred shares are selling for $51.00 per share, and the bonds are selling for 105 percent of par.What would be the weights used in the calculation of WhackAmOle’s WACC? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Equality weight: ___.__% Preferred stock weight: ____.__% Debit weight: ____.__%
WhackAmOle has 4 million shares of common stock outstanding, 3.0 million shares of preferred stock outstanding, and 95,000 bonds. Assume the common shares are selling for $62 per share, the preferred shares are selling for $51.00 per share, and the bonds are selling for 105 percent of par.What would be the weights used in the calculation of WhackAmOle’s WACC? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Equality weight: ___.__% Preferred stock weight: ____.__% Debit weight: ____.__%
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter26: Mergers And Corporate Control
Section: Chapter Questions
Problem 7MC
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WhackAmOle has 4 million shares of common stock outstanding, 3.0 million
What would be the weights used in the calculation of WhackAmOle’s WACC? (Do not round intermediate calculations. Round your answers to 2 decimal places.)
Equality weight: ___.__%
Preferred stock weight: ____.__%
Debit weight: ____.__%
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