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Calculate the weighted average cost of capital? show all calculations. Source of Capital Value Long term debt R500 000 9% Preference shares R200 000 Ordinary

Calculate the weighted average cost of capital? show all calculations.

Source of Capital Value

Long term debt R500 000

9% Preference shares R200 000

Ordinary share equity R300 000

Additional information The company pays a tax rate of 28% The cost of raising ordinary share capital is 17% After tax cost of debt is 11%

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