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9. Unida Systems has 48 million shares outstanding trading for $12 per share. In addition, Unida has $115 million in outstanding debt. Suppose Unida's equity
9. Unida Systems has 48 million shares outstanding trading for $12 per share. In addition, Unida has $115 million in outstanding debt. Suppose Unida's equity cost of capital is 13%, its debt cost of capital is 9%, and the corporate tax rate is 36%. a. What is Unida's after-tax debt cost of capital? b. What is Unida's weighted average cost of capital? a. What is Unida's after-tax debt cost of capital? Unida's after-tax debt cost of capital is %. (Round to one decimal place.) b. What is Unida's weighted average cost of capital? Unida's weighted average cost of capital is %. (Round to one decimal place.) Suppose Pepsico's stock has a beta of 0.78. If the risk-free rate is 4% and the expected return of the market portfolio is 6%, what is Pepsico's equity cost of capital? Pepsico's equity cost of capital is %. (Round to two decimal places.)
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