Your company has three million shares of common stock outstanding with a current market price of $28. RE = 14.5%. There are also 50,000 bonds outstanding with an 8 percent annual coupon, 18 years to maturity, and a current price of $940 per bond. What is the WACC for your company assuming a tax rate of 35%.

Answer rating: 100% (QA)

Heres how to calculate the weighted average cost of capital WACC for your company 1 Calculate the co... View the full answer