Question: Two separate debt issues... Book value of #1=$475,000,000 Market value of # 1=106.25% of par value Market YTM of # 1=4.64% Book value of #2=$125,000,000

Two separate debt issues... Book value of #1=$475,000,000 Market value of \# 1=106.25% of par value Market YTM of \# 1=4.64% Book value of #2=$125,000,000 Market value of \# 2=109.50% of par value Market YTM of \# 2=5.20% The firm's overall Weighted Average Cost of Capital (WACC) is? 6.045% 5.445% 7.845% 6.645% 7.245% EQUITY Current stock price =$16.92 Shares outstanding =86,850,000 Firm beta =0.85 Firm tax rate =28.00% Market Risk Premium (RmRf)=8.00% Treasury Yield =1.25%
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