Find after tax cost of capital

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Reference no: EM131919527

Compute the after-tax cost of capital for Boise Cascade Company. Ignore unamortized financing costs. Information relative to rates appears in the footnotes to financial statements. Use a 15% cost for shareholder equity.Boise Cascade Co's weighted average cost of capital is 13.65%

WACC = E / (E + D) * Cost of Equity + D / (E + D) * Cost of Debt * (1 - Tax Rate)

= 0.8229 * 15.6% + 0.1771 * 7.0539% * (1 - 35.215%)

= 13.65%

This company can be found on Yahoo Finance if needed.

Find After Tax Cost of Capital.

Reference no: EM131919527

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