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A company has a cost of common equity capital of 18 %, and its cost of debt capital is 8 %. The firm is financed
A company has a cost of common equity capital of 18 %, and its cost of debt capital is 8 %. The firm is financed with 60 % common shares and 40 % debt. What is its after-tax weighted average cost of capital if it is subject to a 25% tax rate?
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