The capital structure for Craig Corporation is provided below. The company plans to maintain its capital structure in t

[answerhappygod]

The capital structure for Craig Corporation is provided
below. The company plans to maintain its capital structure in
the future. If the firm has a 6% after tax cost of debt, a
12% cost of preferred stock, and an 14% cost of common stock, what
is Craig Corporation’s weighted cost of capital.
Capital Structure
__________________________________
Bonds

$325,000
Preferred stock

525,000
Common stock

650,000
Total

$1,500,000
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