Question: Question 17 4 points Calvert has a target capital structure of 80% of common stock, 10 percent of preferred stock and 10 debt. The common
Question 17 4 points Calvert has a target capital structure of 80% of common stock, 10 percent of preferred stock and 10 debt. The common stock had a beta of 0.95 and recently paid a dividend of ? Sos. Debt insludes 5.5 percent coupons with 25 years' maturity with a quoted price of 107 of par. The 35 percent preferred stock with the par value of 1001 currently trades for 685. The risk free rate ofretum in the market is 2.8 percent, the risk premium is 68 and the tax rate is 256. Compute Calvert's Weighted Average cost of Capital (WACC) (4 point For the toolbar, press ALT:F10 ( Por ALT FN+F10 (Mac) BIVS Paragraph Arial 14px EE A 2 Ixo Q6 O WONDS POWERED BY T
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