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Cost of debt after Tax Cost of equity Weighted average cost of capital Problem Q MC Savers uses only debt and common equity, It can

Cost of debt after Tax
Cost of equity
Weighted average cost of capital image text in transcribed
Problem Q MC Savers uses only debt and common equity, It can borrow unlimited amounts at an interest rate of ka = 10% as long as it finances at its target capital structure, which calls for 60% debt and 40% common equity. Its last dividend was P1.50, its expected constant growth rate is 5%, and ts common stock sells for P20. MC Savers' tax rate is 30%. Two projects are available: Project A as a rate of return of 13%, while Project B's return is 10%., These two projects are equally risky nd about as risky as the firm's existing assets. (Round off to two decimal places.) E What is MC Savers cost of debt after tax? What is MC Savers cost of equity? What is MC Savers weighted average cost of capital

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