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Ivy Fashions is expected to raise $100 million capital by selling 60 million bonds and use $40 retained earnings. The firm has a cost of

Ivy Fashions is expected to raise $100 million capital by selling 60 million bonds and use $40 retained earnings. The firm has a cost of equity 15.0 percent and a pre-tax cost of debt 6 percent with a tax rate of 30.0 percent. What is the firm's weighted average cost of capital?

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