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Eric has another get - rich - quick idea, but needs funding to support it . He chooses an all - debt funding scenario. He

Eric has another get-rich-quick idea, but needs funding to support it. He chooses an all-debt funding scenario. He will borrow $1,802 from Wendy, who will charge him 7% on the loan. He will also borrow $1,550 from Bebe, who will charge him 9% on the loan, and $648 from Shelly, who will charge him 15% on the loan. What is the weighted average cost of capital for Eric?

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