FarCry Industries, a maker of telecommunications equipment, has 3 million shares of common stock outstanding, 1 million shares of preferred stock outstanding, and 10,000 bonds. Suppose the common shares are selling for $27 per share, the preferred shares are selling for $14.50 per share, and the bonds are selling for 98 percent of par.
What would be the weight used for equity in the computation of FarCry's WACC?
Tags equipment telecommunications maker industries farcry shares selling outstanding preferred bonds share stock common million farcrys wacc weight used equity percent computation 0 maker industries telecommunications equipment suppose farcry 1
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