Weighted average tax rate

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Way Industries has $7 million shares of stock outstanding selling at $14 per share, and an issue of $32 million in 7.5 percent annual coupon bonds with a maturity of 13 years, selling at 103 percent of par. Assume Way's weighted average tax rate is 32 percent and its cost of equity is 10.0 percent.

What is Way's WACC?

Reference no: EM132088407

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