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Consider a firm that has $1 million of debt and $3 million of equity ratio. The rate of return for that is 6% and the
Consider a firm that has $1 million of debt and $3 million of equity ratio. The rate of return for that is 6% and the rate of return for equity is 10%. The corporate tax rate is 40%.
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To calculate the weighted average cost of capital WACC we need to consider the proportion of debt an...
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Fundamentals of Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford, David A. Stangeland, Andras Marosi
1st canadian edition
978-0133400694
