WACC The Pawlson Company's year-end balance sheet is shown below. Its cost of common equity...
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WACC The Pawlson Company's year-end balance sheet is shown below. Its cost of common equity is 14%, its before-tax cost of debt is 9%, and its marginal tax rate is 40%. Assume that the firm's long-term debt sells at par value. The firm's total debt, which is the sum of the company's short-term debt and long-term debt, equals $1,144. The firm has 576 shares o common stock outstanding that sell for $4.00 per share. Assets Liabilities And Equity Cash $ 120 Accounts payable and $10 accruals Accounts receivable 240 Short-term debt Inventores 360 Long-term debt 1,080 Plant and equipment, net 2,160 Common equity 1,726 Total assets $2,880 Total liabilities and equity $2,880 Calculate Pawlson's WACC using market value weights. Round your answer to two decimal places. Do not round your intermediate calculations
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