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David Ortiz Motors has a target capital structure of 30% debt and 70% equity. The yield to maturity on the company's outstanding bonds is 6.5%,

David Ortiz Motors has a target capital structure of 30% debt and 70% equity. The yield to maturity on the company's outstanding bonds is 6.5%, and the company's tax rate is 40%.ld to Ortiz's CFO has calculated the company's WACC as 11.50%. What is the company's cost of equity capital?

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