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b. Casino Ltd. has a capital of 5,000,000. You have the following data from the capital market: Amount of debt Interest rate (%) Equity rate
b. Casino Ltd. has a capital of 5,000,000. You have the following data from the capital market: Amount of debt Interest rate (%) Equity rate (%) 200,000 4 11 300.000 4.5 11.6 400,000 5 12.4 What amount of debt should be employed by the firm if the traditional approach is held valid?|
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