What is the company wacc

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TDS Company has 10 million shares of common stock outstanding. The current share price is $60, and the book value per share is $6. It also has two bonds outstanding. The first bond issue has a face value of $70 million, has a 7 percent, and sell for 93 percent of par. The second issue has a face value of $50 million, has an 8 percent coupon, and sells for 103 percent of par. The first issue matures in 21 years, the second one in 6 years. The most recent dividend paid was $4 and the dividend growth rate is 6%. The first bond has a YTM of 7.8%, the second bond has a YTM of 7.1%. The tax rate is 35%. What is the company's WACC?

Reference no: EM132410906

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