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1 pts Question 2 Escrow House Co. has a desired capital structure of 20-30-50 (preferred shares, debt, and ordinary shares, respectively). If the tax rate

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1 pts Question 2 Escrow House Co. has a desired capital structure of 20-30-50 (preferred shares, debt, and ordinary shares, respectively). If the tax rate shifts from 38% to 30%, use the following information to determine the impact on WACC of the company: Before-tax cost of preferred stock: 8% Before-tax cost of common stock: 14% Before-tax cost debt: 17% Decrease of 0.408% O Increase of 0.408% No effect

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