Weighted Average Cost of Capital (WACC)

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Weighted Average Cost of Capital (WACC)

C/V (Kcs) + P/V (Kps) + D/V (Kd) x (1-t)C = market value of common stockP = market value of preferred stockD = market value of debtV = C + P + DKcs = cost of common stockKps = cost of preferred stockKd = cost of debtt = tax rate

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