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A firm has a 59% debt of 30 million, whose average interest rate to the firm is 9,90%. Equity investors require an average return of
A firm has a 59% debt of €30 million, whose average interest rate to the firm is 9,90%. Equity investors require an average return of 14,70% to stay invested in the firm. The tax rate is 30%.
What is the weighted average cost of capital for the firm?
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To calculate the weighted average cost of capital WACC for the firm you can use the following formul...
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Financial Management Theory and Practice
Authors: Eugene F. Brigham, Michael C. Ehrhardt
15th edition
130563229X, 978-1305632301, 1305632303, 978-0357685877, 978-1305886902, 1305886909, 978-1305632295
