Solution-Compute wacc-eec corporation

Compute wacc-eec corporation

Reference no: EM132660405

EEC Corporation's balance sheet shows $300 million in debt, $50 million in preferred stock, and $650 million in total common equity. EEC's tax rate is 40%, rd = 8%, rps = 7.5%, and rs = 12%. If EEC has a target capital structure of 25% debt, 5% preferred stock, and 70% commons stock, what is its WACC?

Reference no: EM132660405

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Compute wacc-eec corporation

Reference no: EM132660405

Reference no: EM132660405

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