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Big Show Inc. worth $1,400 has a 35% tax rate, total debt of $600, an unlevered return of 15%, and a cost of debt of

Big Show Inc. worth $1,400 has a 35% tax rate, total debt of $600, an unlevered return of 15%, and a cost of debt of 9%. Calculate Big Shows cost of equity?

12.07%

17.93%

20.20%

16.67%

18.75%

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