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A company is expected to pay a 2.11 dividend at year end, the dividend is expected to grow at a constant rate of 7% a
A company is expected to pay a 2.11 dividend at year end, the dividend is expected to grow at a constant rate of 7% a year, and the common stock currently sells for 7.92 a share. The before-tax cost of debt is 4.3%, and the tax rate is 39%. The target capital structure consists of equal parts of debt and common equity. What is the company's WACC?
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