Question
Assume that a company has the following debt, equity, and tax information: Debt is 30% of the capital structure, cost of debt is 7%, cost
Assume that a company has the following debt, equity, and tax information: Debt is 30% of the capital structure, cost of debt is 7%, cost of equity is 15%, and tax rate is 36%. What is the weighted average cost of capital (WACC) for this company?
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11.0%
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11.3%
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11.8%
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12.6%
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The China Model Experience And Challenges
Authors: Yongnian Zheng
1st Edition
1433172003, 1433190214, 9781433190216
