target captial structure qm industries 43 common stock 13 preferred stock and 44 debt if cos
The target captial structure for QM industries is 43% common stock, 13% preferred stock, and 44% debt. If the cost of the common equity for the firm is 18.6%, the cost of preferred stock is 10.4%, the before tax cost of debt is 7.8%, and the firms tax rate is 35%, what is QM’s weighted average cost of capital?