Springfield Corporation,whose tax rate is 30%,has two sources of funds: long-term debt with a market value of $6,000,000 and an interest rate of 8%,and equity capital with a market value of $15,000,000 and a cost of equity of 12%.What is Springfield's weighted average cost of capital (WACC)?
A) 9.17%
B) 9.57%
C) 10.17%
D) 11.17%

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The Answer of Springfield Corporation,whose tax rate is 30%,has two sources of funds: long-term debt with a market value of $6,000,000 and an interest rate of 8%,and equity capital with a market value of $15,000,000 and a cost of equity of 12%.What is Springfield's weighted average cost of capital (WACC)?
A) 9.17%
B) 9.57%
C) 10.17%
D) 11.17%

Springfield Corporation,whose Tax Rate Is 30%,has Two Sources of Funds