You have acquired 30 million dollar by issuing bond what is


You have acquired 30 million dollar by issuing bond. The Yield of Maturity of the bond is 8%.

You have also acquired 40 million dollar by issuing preferred stocks. The net price is 98% of par and the fixed dividend rate is 6%.

You have also acquired 10 million dollars by a long term loan from Bank ABC. The APR is 4% and is compounded annually.

There is no floatation cost of any kind, and your tax rate is 30%.

What is your after tax WACC? (Write your answer with four decimals. For example, if your answer is 7.52%, write your answer as 0.0752)

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Financial Management: You have acquired 30 million dollar by issuing bond what is
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