Global Technology's capital structure is as follows: Debt 50 % Preferred stock 35 Common equity 15 The aftertax cost of debt is 9.00 percent; the cost of preferred stock is 12.50 percent; and the cost of common equity (in the form of retained earnings) is 16.00 percent. Calculate the Global Technology's weighted cost of each source of capital and the weighted average cost of capital.
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Home » Business » Global Technology's capital structure is as follows: Debt 50 % Preferred stock 35 Common equity 15 The aftertax cost of debt is 9.00 percent; the cost of preferred stock is 12.