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Global Technologys capital structure is as follows Debt Preferred stock Common equity 15% 50 35 The aftertax cost of debt is 8.00 percent; the cost of preferred stock is 12.00 percent; and the cost of common equity (in the form of retained eamings) is 15.00 percent. Calculate the Global Technologys weighted cost of each source of capital and the weighted average cost of capital. (Do not round intermediate calculations. Input your answers as a percent rounded to 2 decimal places.) Weighted Cost Debt Preferred stock Common equity Weighted average cost of capital

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weight cost 0.15 0.50 0.35 product Debt preference Equity 0.08 0.12 0.15 0.0120 0.0600 0.0525 0.1245 WACC WACC 0.12 12.45%

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