General Lithograph Corporation uses no preferred stock. Their capital structure uses 46% debt (hint: the rest...

 

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General Lithograph Corporation uses no preferred stock. Their capital structure uses 46% debt (hint: the rest is equity). Their marginal tax rate is 31.27%. Their before-tax cost of debt is 2.78%. General Lithograph's stock has a beta of 1.11. The current risk-free rate is 3.45%, and the overall market is expected to return 9.59% over the long- run. What is General Lithograph's weighted average cost of capital (WACC)? General Lithograph Corporation uses no preferred stock. Their capital structure uses 46% debt (hint: the rest is equity). Their marginal tax rate is 31.27%. Their before-tax cost of debt is 2.78%. General Lithograph's stock has a beta of 1.11. The current risk-free rate is 3.45%, and the overall market is expected to return 9.59% over the long- run. What is General Lithograph's weighted average cost of capital (WACC)? General Lithograph Corporation uses no preferred stock. Their capital structure uses 46% debt (hint: the rest is equity). Their marginal tax rate is 31.27%. Their before-tax cost of debt is 2.78%. General Lithograph's stock has a beta of 1.11. The current risk-free rate is 3.45%, and the overall market is expected to return 9.59% over the long- run. What is General Lithograph's weighted average cost of capital (WACC)?

Answer rating: 100% (QA)

To calculate the weighted average cost of capital WACC for General Lithograph Corporation we can use ... View the full answer