Calculate the weighted average cost of capital for the following firm: it has $275,000 in...

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Accounting

Calculate the weighted average cost of capital for the following firm: it has $275,000 in debt, $650,000 in common stock and $115,000 in preferred stock. It has a 5.75% cost of debt, 9.75% cost of common stock, 12% cost of preferred stock and a 25% tax rate.

9.13%

7.29%

8.56%

6.75%

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