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  3. (36) avery corporation's target capital structure

(36) Avery Corporation's target capital structure is 35% debt, 10% preferred, and 55% Common equity....

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(36) Avery Corporation's target capital structure is 35% debt, 10% preferred, and 55% Common equity. The interest rate on new debt is 6.50%, the yield on the preferred stock is 6,00%, the cost of common equity is 12%, and the tax rate is 25%. What is A very's WACC? A) 9.19% B) 7.79% C) 9,94% D) 8.91% E)0.55%

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