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ematay ematay
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2 years ago
Gillian's Boutique has 850,000 shares of common stock outstanding at a market price of $16 a share. The company also has 15,000 bonds outstanding that are quoted at 98 percent of face value. What weight should be given to the common stock when Gillian's computes their weighted average cost of capital? Round answer to nearest percent.

▸ 48 percent

▸ 49 percent

▸ 50 percent

▸ 51 percent

▸ 52 percent
Textbook 
Corporate Finance Online

Corporate Finance Online


Edition: 2nd
Authors:
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Meghan.albamontMeghan.albamont
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2 years ago
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Anonymous
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6 months ago
Help! The answer is missing an explanation...
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