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your firm has issued 10,000 bonds with a market price of 103 per bond the firm also has 30,000 common shares outstanding at a price of $35 per share....
your firm has issued 10,000 bonds with a market price of 103 per bond the firm also has 30,000 common shares outstanding at a price of $35 per share. if the common shares will pay a dividend of 1.50 at the end of the year and there after dividends will grow at a rate of 3%. if the after tax yield on the firms bonds is 6%, what is the firms weighted average cost of capital