The WACC of Mercury General Corp (MCY) is 7.1%.
| Range | Selected | |
| Cost of equity | 6.40% - 8.60% | 7.50% |
| Tax rate | 16.40% - 17.60% | 17.00% |
| Cost of debt | 5.00% - 5.00% | 5.00% |
| WACC | 6.1% - 8.0% | 7.1% |
| Category | Low | High |
| Long-term bond rate | 3.9% | 4.4% |
| Equity market risk premium | 4.6% | 5.6% |
| Adjusted beta | 0.55 | 0.66 |
| Additional risk adjustments | 0.0% | 0.5% |
| Cost of equity | 6.40% | 8.60% |
| Tax rate | 16.40% | 17.60% |
| Debt/Equity ratio | 0.14 | 0.14 |
| Cost of debt | 5.00% | 5.00% |
| After-tax WACC | 6.1% | 8.0% |
| Selected WACC | 7.1% | |