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MV Corporation has debt with market value of $101 ?million, common equity with a book value...

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Finance

MV Corporation has debt with market value of $101 ?million,common equity with a book value of $95 million, and preferred stockworth $22 million outstanding. Its common equity trades at $50 per?share, and the firm has 5.8 million shares outstanding. Whatweights should MV Corporation use in its? WACC?

The debt weight for the WACC calculation is _____. ?(Round totwo decimal? places.)

The preferred stock weight for the WACC calculation is_______?(Round to two decimal? places.)

The common equity weight for the WACC calculation is_______?(Round to two decimal? places.)

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4.0 Ratings (480 Votes)
Debt Market Value of Debt 101000000 Preferred Stock Market Value of Preferred Stock 22000000 Common Equity Number of shares outstanding 5800000 Current Price 50    See Answer
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MV Corporation has debt with market value of $101 ?million,common equity with a book value of $95 million, and preferred stockworth $22 million outstanding. Its common equity trades at $50 per?share, and the firm has 5.8 million shares outstanding. Whatweights should MV Corporation use in its? WACC?The debt weight for the WACC calculation is _____. ?(Round totwo decimal? places.)The preferred stock weight for the WACC calculation is_______?(Round to two decimal? places.)The common equity weight for the WACC calculation is_______?(Round to two decimal? places.)

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