=+9 Given the following facts about Company X, what would the equity cost of capital be if

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=+9 Given the following facts about Company X, what would the equity cost of capital be if it was transformed from its current gearing to having no debt, if Modigliani and Miller's model with no tax applied?

k.

= 30%

kp

=9%

VD

=0.6

(VD + VE)

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