Crypton electronics has a capital structure consisting of

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Crypton Electronics has a capital structure consisting of 36% common stock and 64% dept. A dept issue of $1,000 par value, 5.7% bonds that mature in 15 years and pay annual interest will sell for $970. Common stock of the firm is currently selling for $29.12 per share and the firm expects to pay a $2.25 dividend next year. Dividends have grown at the rate of 5.4% per year and are expected to continue to do so for the foreseeable future. What is Crypton's cost of capital where the firm's tax rate is 30%? Cryton's cost of capital is% The cost of capital from this bond dept is % The cost of capital for the common equity % DebtWeights? After-Tax Cost of financing ? Products? Common stock Weights? After-Tax Cost of financing ? Products ? WACC %

Reference no: EM13566936

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