(Solved): please find the WACC using both the book value and the market value as well as which ones better Boo ...

Book value versus market value components. The CFO of DMI is trying to determine the company's WACC. Brad, a promising MBA, says that the company should use book value to assign the WACC components' percentages. Angela, a long-time employee and experienced financial analyst, says that the company should use market value to assign the components' percentages. The after-tax cost of debt is at \( 9.2 \% \), the cost of preferred stock is at \( 12.27 \% \), and the cost of equity is at \( 16.45 \% \). Calculate the WACC using both the book value and the market value approaches with the information in the popup window: Which do you think is better? What is the book value adjusted WACC for DMI? \% (Round to two decimal places.) Click on the Icon \( \square \) in order to copy its content into a spreadsheet. Market Information