question archive Suppose Corporation A has a book (face) debt value of $9M, trading at 84% of face value
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Suppose Corporation A has a book (face) debt value of $9M, trading at 84% of face value. It also has book equity of $21 million, and 2.21 million shares of common stock trading at $21 per share. What is the weight for for common equity that Corporation A should use in calculating its WACC?
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