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11. A company's CFO wants to maintain a target debt-to-equity ratio of 26%. If the WACC is 11%, and the pre-tax cost of debt is

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11. A company's CFO wants to maintain a target debt-to-equity ratio of 26%. If the WACC is 11%, and the pre-tax cost of debt is 5%, what is the cost of common equity assuming a tax rate of 40%? (5 points)

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