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2. Given the following information: Determine the firm's cost of capital 2. Given the following information: Cost of debt (before tax) Tax rate Next year

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2. Given the following information: Determine the firm's cost of capital

2. Given the following information: Cost of debt (before tax) Tax rate Next year dividend 8% 33% $1.5 The price of the common stock $45 Growth rate of dividends Debt ratio Determine the firm's cost of capital. 5%

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