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A retail institution had a capital structure that is comprised of 6 8 % debt and 3 2 % equity. If the firm has a

A retail institution had a capital structure that is comprised of

68 %

debt and

32 %

equity. If the firm has a marginal tax rate of

40 %,

a pre

-

tax cost of debt of

9 %

and a cost of eauity of

12 %,

what is the companies WACC?

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