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WACC. Grey's Pharmaceuticals has a new project that will require funding of $12.3 million. The company has decided to pursue an all-debt scenario. Grey's has made agreements with four lenders for the needed financing. These lenders will advance the following amounts at the interest rates shown: Click on the Icon D in order to copy its content into a spreadsheet. Lender Amount Interest Rate Steven Yang Shepherd Bailey $4,563,472 $3,590,785 13% 12% $3,127,951 9% $1,017,792 10% What is the weighted average cost of capital for the $12,300,000? What is the weighted average cost of capital for the $12,300,000? D% (Round to two decimal places.)

WACC. Grey's Pharmaceuticals has a new project that will require funding of $12.3 million. The company has decided to pursue an all-debt scenario. Grey's has made agreements with four lenders for the needed financing. These lenders will advance the following amounts at the interest rates shown: Click on the Icon D in order to copy its content into a spreadsheet. Lender Amount Interest Rate Steven Yang Shepherd Bailey $4,563,472 $3,590,785 13% 12% $3,127,951 9% $1,017,792 10% What is the weighted average cost of capital for the $12,300,000? What is the weighted average cost of capital for the $12,300,000? D% (Round to two decimal places.)

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Chapter 11, Question 2

WACC. Grey's Pharmaceuticals has a new project that will require funding of $12.3 million. The company has decided to pursue an all-debt scenario. Grey's has made agreements with four lenders for the needed financing. These lenders will advance the following amounts at the interest rates shown: Click on the Icon D in order to copy its content into a spreadsheet. Lender Amount Interest Rate Steven $4,563,472 $3,590,785 13% Yang 12% Shepherd $3,127,951 9% Bailey $1,017,792 10% What is the weighted average cost of capital for the $12,300,000? What is the weighted average cost of capital for the $12,300,000? % (Round to two decimal places.)
Transcribed Image Text:WACC. Grey's Pharmaceuticals has a new project that will require funding of $12.3 million. The company has decided to pursue an all-debt scenario. Grey's has made agreements with four lenders for the needed financing. These lenders will advance the following amounts at the interest rates shown: Click on the Icon D in order to copy its content into a spreadsheet. Lender Amount Interest Rate Steven $4,563,472 $3,590,785 13% Yang 12% Shepherd $3,127,951 9% Bailey $1,017,792 10% What is the weighted average cost of capital for the $12,300,000? What is the weighted average cost of capital for the $12,300,000? % (Round to two decimal places.)
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