Sunland Co. has a capital structure, based on current market values, that consists of 45 percent debt, 19 percent preferred stock, and 36 percent common stock. If the returns required by investors are 9 percent, 11 percent, and 15 percent for the debt, preferred stock, and common stock, respectively, what is Sunlands after-tax WACC? Assume that the firms marginal tax rate is 40 percent.

Problem 13.11 (Solution Video) Sunland Co. has a capital structure, based on current market values, that consists of 45 percent debt, 19 percent preferred stock, and 36 percent common stock. If the returns required by investors are 9 percent, 11 percent, and 15 percent for the debt, preferred stock, and common stock, respectively, what is Sunland's after-tax WACC? Assume that the firm's marginal tax rate is 40 percent. (Round final answer to 2 decimal places, e.g. 15.25%.) After tax WACC Olo