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    bjusreal's Avatar
    bjusreal Posts: 11, Reputation: 1
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    #1

    Jul 17, 2010, 11:36 AM
    Life Balance, Inc. has found that its cost of common equity capital is 15 percent
    Life Balance, Inc. has found that its cost of common equity capital is 15 percent and its cost of debt capital is 9 percent. If the firm is financed with $6 million of common shares (market value) and $4 million of debt, what is the after tax weighted average cost of capital (WACC) for the company if it is subject to a 30 percent marginal tax rate?
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
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    #2

    Jul 17, 2010, 11:14 PM

    Please see the guidelines for posting homework questions:
    https://www.askmehelpdesk.com/financ...-b-u-font.html

    This goes for all 3 of your questions. And I just found where you posted like 7-8 questions all on the same thread - a bunch of multiple choice. We are not going to just go through and answer stuff like that for you. This isn't one of those places where you can just get all the answers.
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