Use the following information to answer the following question(s).
The following data concerning Dwight's Dollar Store capital structure is available.

-The percentage of preference share in Dwight's weighted average cost of capital is [blank].

Question

Use the following information to answer the following question(s).
The following data concerning Dwight's Dollar Store capital structure is available.
 
-The percentage of preference share in Dwight's weighted average cost of capital is [blank].

Quizplus · Accepted Answer

To find the percentage of preference share in Dwight's weighted average cost of capital, we need to calculate the weight of preference shares in the capital structure. 
Weight of preference shares = (Preference share capital / Total capital) x 100
= (6,250 / 100,000) x 100
= 6.25%
Therefore, the answer is D) 6.25%.

Use the Following Information to Answer the Following Question(s)