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A firm's capital structure consists of a $51 million loan with an interest rate of 4.91%, a $49 million bond issue rated BB, and 99

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A firm's capital structure consists of a $51 million loan with an interest rate of 4.91%, a $49 million bond issue rated BB, and 99 million shares of common stock currently selling at $3.52 a share. The stock's beta is 1.15. 9. What is this firm's WACC? 10. One of your colleague's has suggested the firm undertake a project with an 8.55% cost of capital. Should you agree with your colleague? Justify your answer. A firm's capital structure consists of a $51 million loan with an interest rate of 4.91%, a $49 million bond issue rated BB, and 99 million shares of common stock currently selling at $3.52 a share. The stock's beta is 1.15. 9. What is this firm's WACC? 10. One of your colleague's has suggested the firm undertake a project with an 8.55% cost of capital. Should you agree with your colleague? Justify your

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