Given the following information on Big Brothers Inc. capital structure, compute the company's weighted average cost of capital (WACC). The company marginal tax rate is 40%.
Round the answer to two decimal places in percentage form
|
Type of Capital
|
Percent of Capital Structure
|
Before-Tax Component Cost
|
|
Bonds
|
34%
|
10.35%
|
|
Preferred Stock
|
15%
|
14.88%
|
|
Common Stock
|
Please calculate it
|
17.08%
|