What weight should you use for debt in the computation

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Question: FarCry Industries, a maker of telecommunications equipment, has 6 million shares of common stock outstanding 4 million shares of preferred stock outstanding, and 45,000 bonds Suppose the common.shares are selling for $27 per share, the preferred shares are selling for $14.50 per share, and the bonds are setting for 99 percent of par. What weight should you use for debt in the computation of FarCry's WACC? (Round your answer to 2 decimal places.)

Reference no: EM131972939

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