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Dickson, Inc., has a debt-equity ratio of 2.4. The firm's weighted average cost of capital is 12.7% and its pretax cost is 4.8%. The tax

Dickson, Inc., has a debt-equity ratio of 2.4. The firm's weighted average cost of capital is 12.7% and its pretax cost is 4.8%. The tax rate is 39%.

What is the company's cost of equity capital?

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