How do I get the WACC for a company whose info is this:
tax bracket: 30%
%of company finaced by stock: 60%
% of company financed by bonds: 25%
% of company financed by preferred stocks: 15%
Bond yield: 7%
Preferred stock yield: 11%
from the question:
weight of stock: We = 60%
weight of bonds: Wd = 25%
weight of preferred stocks: ...
WACC for a company is determined.