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Fixeter Corp has a market value balance sheet comprised of $750,000,000 in debt and $250,000,000 in equity. The firm can borrow at a rate of

Fixeter Corp has a market value balance sheet comprised of $750,000,000 in debt and $250,000,000 in equity. The firm can borrow at a rate of 6% per annum and is subject to a 30% tax rate. If the unlevered cost of equity for the firm is 10%, then a. Calculate the current levered cost of equity for the firm.

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