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What is romrico weighted average cost of capital

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Romrico Corp. has a target capital structure of 35% debt, 20% preferred stock and 45% common stock. Romrico's before tax cost of debt is 5% and its marginal tax rate is 38%.Its cost of common stock is estimated at 11.5% while its cost of preferred stock is estimated at 8%. What is Romrico's weighted average cost of capital (WACC)?

Reference no: EM132406473

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