What is diy weighted average cost of capital

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DIY has 218,614 shares of common stock outstanding at a market price of $36.7 a share. DIY just paid an annual dividend $1.59 per share. The dividend growth rate is 0.048. DIY also has 6,504 bonds outstanding with a face value of $1,000 per bond. The bonds carry a 0.087 coupon, pay interest annually, and mature in 6 years. The bonds are selling at a yield of 0.076. The company's tax rate is 0.31. What is DIY's weighted average cost of capital?

Reference no: EM132611768

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