Amilia was hired as a consultant to Quigley Company, whose target capital structure is 55% debt, 10% preferred, and 35%

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Amilia Was Hired As A Consultant To Quigley Company Whose Target Capital Structure Is 55 Debt 10 Preferred And 35 1 (29.13 KiB) Viewed 18 times

Amilia was hired as a consultant to Quigley Company, whose target capital structure is 55% debt, 10% preferred, and 35% common equity. The interest rate on new debt is 11.50%, the yield on the preferred is 14.20%, the cost of retained earnings is 24.50%, and the tax rate is 40%. The firm will not be issuing any new stock. What is Quigley's WACC? Round final answer to two decimal places. Round your intermediate calculations to at least 4 decimal places.