XYZ corporation has the following market value based capital structure, Long term bonds $20 billion Common equity $30 bi
Posted: Wed May 18, 2022 11:34 pm
XYZ corporation has the following market value based capital structure, Long term bonds $20 billion Common equity $30 billion The required rate of return for the common stock is 20% and the yield to maturity for the bonds is 10% The tax rate is 30%. Compute the after tax weighted average cost of capital. Report the answer as a percentage figure without the % symbol.