Calculate the wacc for company xyz

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Reference no: EM132820112

Company XYZ has the following loans: Building Loan, $200,000 at 5.0% interest.

  • Vehicle Loan, $75,000 at 7.0% interest.
  • Line of Credit, $150,000 at 8.0% interest.

The owners have also put in $300,000 equity and expect 15% return.

The current tax rate is 22.5%.

Calculate the WACC % for company XYZ.  (DO NOT include % sign and use 1 decimal. For example 9.43% would be input as 9.4.) 

Reference no: EM132820112

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