Life Balance, Inc. has found that its cost of common equity capital is 15 percent and its cost of debt capital is 9 percent.

Life Balance, Inc. has found that its cost of common equity capital is 15 percent and its cost of debt capital is 9 percent. If the firm is financed with $6 million of common shares (market value) and $4 million of debt, what is the after tax weighted average cost of capital (WACC) for the company if it is subject to a 30 percent marginal tax rate? 9.7% 10.65% 11.16% 11.52%

Life Balance, Inc. has found that its cost of common equity capital is 15 percent and its cost of debt capital is 9 percent. If the firm is financed with $6 million of common shares (market value)…

"Get 15% discount on your first 3 orders with us"
Use the following coupon
"FIRST15"

Order Now