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If Windows Phone Corp. issues an additional $9 million of debt and uses this money to retire common stock, what will be the expected return
If Windows Phone Corp. issues an additional $9 million of debt and uses this money to retire common stock, what will be the expected return on the stock? Assume that the change in capital structure does not affect the risk of the debt, and recall that the WACC under the initial capital structure is 12.29%. Enter your answer as a percentage. Do not include the percentage sign in your answer.
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