Attempts Average / 1 4. Problem 10.09 (WACC) eBook The Paulson Company's year end balance sheet is shown below. Its cost of common equity is 18%, its before-tax cost of debt is 10%, and its marginal tax rate is 25%. Assume that the firm's long-term debt sells at par value. The firm's total debt, which is the sum of the company's short-term debt and long-term debt, equals $1,100. The firm has 576 shares of common stock outstanding that sell for $4.00 per share. Assets Liabilities And Equity Cash $ 120 Accounts payable and accruals $10 Accounts receivable 240 Short-term debt 40 Inventories Long-term debt 1,060 Plant and equipment, net 2,160 Common equity 1,770 Total assets $2,880 Total abilities and equity $2,880 Calculate Paulson's WACC using market-value weights. Do not round intermediate calculations. Round your answer to two decimal places. 360 Grade it Now Save & Continue Continue without saving