Capital structure for qm industries

Reference no: EM13751411

The target capital structure for QM Industries is 35% common stock, 6% preferred stock, and 59% debt. If the cost of common equity for the firm is 17.2%, the cost of preferred stock is 9.8%, the before-tax cost of debt is 7.8%, and the firm's tax rate is 35%, what is QM's weighted average cost of capital?

Reference no: EM13751411

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