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Business, 21.12.2019 02:31 ayindejoy

Southern alliance company needs to raise $45 million to start a new project and will raise the money by selling new bonds. the company will generate no internal equity for the foreseeable future. the company has a target capital structure of 65 percent common stock, 5 percent preferred stock, and 30 percent debt. flotation costs for issuing new common stock are 9 percent, for new preferred stock, 6 percent, and for new debt, 3 percent. the true initial cost figure southern should use when evaluating its project is $.(do not include the dollar sign ($). do not round the weighted average floatation cost. round your answer to the nearest whole dollar amount. (e. g., 32))

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