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Calculate the wacc for orange

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You are given the following information related to Orange Co. Calculate the WACC for Orange.

  • Debt: 13,626 5.4% coupon bonds outstanding, quoted at 98.25, with 30 years to maturity. These bonds pay interest semiannually.
  • Common Stock: 300,000 shares common stock selling for $56.53 per share. The stock has a beta of 1.45.
  • Preferred Stock: 150,000 shares of preferred stock with a dividend of $6.3 per share. It is currently selling at $109.4 per share.
  • Market: The market premium is 6.5%, and the risk-free rate of return is 1.25%.
  • tax bracket = 21%

Orange's WACC =________% (Round your answer to two decimal places in percentage.

Reference no: EM132999404

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