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10.Award: 9 out of 9.00 points9 out of 9.00 pointsMullineaux Corporation has a target capital structure of 75 percent common stock and 25 percent debt. Itscost of equity is 14 percent, and the cost of debt is 8 percent. The relevant tax rate is 30 percent.What is the company’s WACC? (Do not round intermediate calculations and enter your answer as apercent rounded to 2 decimal places, e.g., 32.16.)
ReferencesWorksheetSection: 13.11Flotation Costs andthe WeightedAverage Cost ofCapitalMullineaux Corporation has a target capital structure of 75 percent common stock and 25 percent debt. Itscost of equity is 14 percent, and the cost of debt is 8 percent. The relevant tax rate is 30 percent.What is the company’s WACC? (Do not round intermediate calculations and enter your answer as apercent rounded to 2 decimal places, e.g., 32.16.)
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12/12/16, 11:20 PMAssignment Print ViewPage 12 of 1611.Award: 0 out of 9.00 points0 out of 9.00 points12.Award: 6 out of 6.00 points6 out of 6.00 pointsCentral Systems, Inc. desires a weighted average cost of capital of 10 percent. The firm has an after-tax cost of debt of 6 percent and a cost of equity of 14 percent. What debt-equity ratio is needed forthe firm to achieve its targeted weighted average cost of capital?
Filer Manufacturing has 8 million shares of common stock outstanding. The current share price is $80, andthe book value per share is $7. The company also has two bond issues outstanding. The first bond issuehas a face value $75 million, a coupon of 9 percent, and sells for 95 percent of par. The second issue has aface value of $45 million, a coupon of 10 percent, and sells for 108 percent of par. The first issue matures in24 years, the second in 7 years.a.What are the company's capital structure weights on a book value basis? (Do not round intermediatecalculations and round your answers to 4 decimal places, e.g., 32.1616.)
b.What are the company's capital structure weights on a market value basis?(Do not roundintermediate calculations and round your answers to 4 decimal places, e.g., 32.1616.)

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