M N P Q R S T U V A B D G H 3 4 Given the following information for Lightning Power Co., find the WACC. Assume the company's tax rate is 21 percent. 5 Debt: 10,000 6.4 percent coupon bonds outstanding, $1,000 par value, 25 years to maturity, selling for 108 percent of par; the bonds make semiannual payments. 6 7 Common Stock: 495,000 shares outstanding, selling for $63 per share; beta is 1.15. Preferred Stock: 35,000 shares of 3.5 percent preferred stock outstanding, currently 8 selling for $72 per share. 9 Market. 7 percent market risk premium and 3.2 percent risk-free rate.