Firm plans on using retained earnings exclusively

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Reference no: EM13917995

Murray Electronics uses according to market values 25 debt 10 preferred and 65 equity The YTM on the firm's debt is currently 7.5 and the firm's marginal tax rate is 35 The firm's preferred stock is selling for $101 and has an annual dividend of $10 The firm's stock beta is 1.1 and the current risk free rate is 4 The overall market rate of return is 12 and the firm plans on using retained earnings exclusively

Reference no: EM13917995

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