Determining the wacc of company


Suppose that JB Cos. has a capital structure of 66% equity, 34% debt, and that its before-tax cost of debt is 13% while its cost of equity is 19%. If the appropriate weighted average tax rate is 35%, what will be JB's WACC?

Solution Preview :

Prepared by a verified Expert
Finance Basics: Determining the wacc of company
Reference No:- TGS0672662

Now Priced at $5 (50% Discount)

Recommended (90%)

Rated (4.3/5)