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1. Interpret (explain) the following graph. Explain why each curve has its particular shape in relation to the x and yaxis and to each of

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1. Interpret (explain) the following graph. Explain why each curve has its particular shape in relation to the x and yaxis and to each of the other curves. Cost of capital (percent) Cost of equity Weighted average cost of capital U-shaped Cost of debt Minimum point for cost of capital 40 Debt-assets ratio (percent)

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