What is the firms wacc when computing wacc round your cost


The Flying Dove has 1,200 bonds outstanding with a $1,000 par value, a 7 percent coupon, 12 years to maturity, semiannual interest payments, and a market price equal to 102 percent of par. The firm also has 47,000 shares of common stock outstanding at a price per share of $38 and a beta of 1.3. The risk-free rate is 4 percent, the market risk premium is 7 percent, and the tax rate is 34 percent. What is the firm's WACC? (When computing WACC, round your cost of debt to 4 decimal places when expressed as a decimal value.)

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