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A firm has a target debt-equity ratio of 0.37. The after tax cost of debt is 9% and the cost of equity is 15%. The

A firm has a target debt-equity ratio of 0.37. The after tax cost of debt is 9% and the cost of equity is 15%. The company has a 40% tax rate. A project has an initial cost of $70,000 and an annual after-tax cash flow of $21,000 for six years. There is no salvage value or net working capital requirement. 


What is the WACC?

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