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Company A wants to calculate its WACC. It has just issued a 6 - year, 9 % coupon, non - callable bond at par value.

Company A wants to calculate its WACC. It has just issued a 6-year, 9% coupon, non-callable bond at par value. A's current stock price is $16 and A just paid s $2.3 per share dividend. A's dividend payment is expected to grow at a constant rate of 4% a year. A wants to keep a debt-to-capital ratio of 20%. Tax rate is 30%. If A does not have preferred stock and floatation costs, what is its WACC (please report WACC

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