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A firm has 2 , 0 0 0 , 0 0 0 shares of common stock outstanding with a market price of $ 2 per
A firm has shares of common stock outstanding with a market price of $ per share. It has bonds outstanding, each selling for $ The bonds mature in years, have a coupon rate of and pay coupons semiannually. The firm's beta is the risk free rate is and the market risk premium is The tax rate is Using the market values of debt and equity, calculate the WACC.
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