You are given the following information for Lightning Power Company. Assume the companys tax rate...
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Accounting
You are given the following information for Lightning Power Company. Assume the companys tax rate is 21 percent.
| Debt: | 16,000 6.5 percent coupon bonds outstanding, $1,000 par value, 27 years to maturity, selling for 105 percent of par; the bonds make semiannual payments. |
|---|---|
| Common stock: | 490,000 shares outstanding, selling for $67 per share; beta is 1.18. |
| Preferred stock: | 21,500 shares of 4.3 percent preferred stock outstanding, a $100 par value, selling for $88 per share. |
| Market: | 6 percent market risk premium and 5.4 percent risk-free rate. |
What is the company's WACC?
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.
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