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Cost of new common stock

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GHJ Inc. is investing in a new project of $16 million. It will raise $2 million of bonds, $4 million of preferred stock, and $10 million of new common stock. If the after-tax cost of debt is 7%, cost of preferred stock is 9%, the cost of retained earnings is 14%, and the cost of new common stock is 17%, what is the WACC? 

The equations i'm given to use is WACC= (kd * wd) + (kps * wps) + (kcs * wcs) and WACC = (kd * wd) + (kcs*wcs)

Reference no: EM131721642

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