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A firm finances with both bonds and common equity, but does not wish to issue any new common stock during the coming year due to

A firm finances with both bonds and common equity, but does not wish to issue any new common

stock during the coming year due to sub

-

optimal market conditions. It has committed to

maintaining the dividend at the projected level. Given these constraints and the following

information, what percentage of the capital budget must be financed with debt?

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