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Business, 25.03.2020 00:14 kingtrent81

Rivertrail Inc. has 12,000 shares of common stock outstanding. The book value is $20 per share, while the market value is $39 per share. It also has 5,000 shares of preferred stock with a book value of $22 per share; the market value of the preferred stock is $26 per share. Rivertrail has a $400,000 face value bond issue outstanding, which is selling at 87% of par. What weight should be placed on the preferred stock when computing the Rivertrail's WACC

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Rivertrail Inc. has 12,000 shares of common stock outstanding. The book value is $20 per share, whil...
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