Patrick Corporation has a target capital structure of 40 percent common stock, 15 percent preferred...
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Accounting
- Patrick Corporation has a target capital structure of 40 percent common stock, 15 percent preferred stock, and 45 percent debt. Its cost of equity is 15 percent, the cost of preferred stock is 7 percent, and the cost of debt is 8 percent. The relevant tax rate is 40 percent. What is Patricks WACC?
- 8.93%
- 9.21%
- 10.00%
- 10.65%
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