Question

WACC.  

Answer 1

Answer:

6.57%

Explanation:

The WACC formula is really easy you just have to calculate the weights of the debt or equity whatever is given in the question and then multiply it by the percentage of borrowing given. The total borrowing in this question is 12000(4911+4305+2784).

WACC for this question will be calculated as:

=> (4911/12000)*0.04 + (4305/12000)*0.06 + (2784/12000)*0.12

=> 0.0657

=> 6.57%

Hope this helps,

Goodluck buddy