Q. If the weighting of equity in total capital is 1/3, that of debt is 2/3, the return on equity is 15% that of debt is 10% and the corporate tax rate is 32%, what is the Weighted Average Cost of Capital (WACC)? (Solved)
1. 10.533%
2. 7.533%
3. 9.533%
4. 11.350%
- c. 9.533%