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A company has a target capital structure consisting of 60% equity and 40% debt. The cost of equity is 12%, and the cost of debt
- A company has a target capital structure consisting of 60% equity and 40% debt. The cost of equity is 12%, and the cost of debt is 6%. Calculate the company's weighted average cost of capital (WACC) given that the tax rate is 30%.
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Introduction to Managerial Accounting
Authors: Peter Brewer, Ray Garrison, Eric Noreen
5th edition
73527076, 978-0077386214, 77386213, 978-0073527079
