document.write( "Question 1149513: Bartlett Company's target capital structure is 40% debt, 15% preferred, and 45% common equity. The after-tax cost of debt is 6.00%, the cost of preferred is 7.50%, and the cost of common using reinvested earnings is 12.75%. The firm will not be issuing any new stock. You were hired as a consultant to help determine their cost of capital. What is its WACC?
\n" ); document.write( "
\n" ); document.write( "a. 9.54% \r
\n" ); document.write( "\n" ); document.write( "
\n" ); document.write( "b. 8.98% \r
\n" ); document.write( "\n" ); document.write( "
\n" ); document.write( "c. 10.12% \r
\n" ); document.write( "\n" ); document.write( "
\n" ); document.write( "d. 9.26% \r
\n" ); document.write( "\n" ); document.write( "
\n" ); document.write( "e. 9.83% \r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "
\n" ); document.write( "

Algebra.Com's Answer #770852 by ikleyn(52866)\"\" \"About 
You can put this solution on YOUR website!
.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "Let me explain you something.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "There is the area of Math problems and there is the area of Finance problems.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "There is some intersection of these two areas.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "While the problem is in Math, we can help.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "Even if the problem is in intersection area, we still can help.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "But THIS problem is strictly in the Finance area, highly specialized.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "In this area we CAN NOT help at this forum.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "So, you simply waste your time, posting this problem and such problems to this forum.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "Find another, more appropriate site for your needs.\r
\n" ); document.write( "
\n" ); document.write( "\n" ); document.write( "
\n" ); document.write( "
\n" );