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What is the weighted average cost of debt

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Problem 1) A firm has three bond issues outstanding as shown below. Based on this information what is the weighted average cost of debt?

Market value           Coupon Rate             Yield to Maturity

$500,000                         8.00%                  7.20%

$600,000                           7.00%               8.40%

$900,000                          6.00%                  7.80%

Reference no: EM132622602

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