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A company has earnings before interest and taxes of $106,000. Both the book and the market value of debt is $170.000. The unlevered cost of
A company has earnings before interest and taxes of $106,000. Both the book and the market value of debt is $170.000. The unlevered cost of equity is 15.5 percent while the pre-tax cost of debt is 8.6 percent. The tax rate is 40 percent. What is the firm's weighted average cost of capital? show your calculations
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Mathematical Control Theory And Finance
Authors: Andrey Sarychev, Albert Shiryaev, Manuel Guerra, Maria Do Rosário Grossinho
2008th Edition
3540695311, 978-3540695318
