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Calculate the cost of debt from the following information: company cost of capital = 15%, cost of equity capital = 16 per cent, D =
Calculate the cost of debt from the following information: company cost of capital = 15%, cost of equity capital = 16 per cent, D = $0.2 million, and V = $0.5 million.
a.
15.5%
b.
13.5%
c.
12.5%
d.
10.5%
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