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Kose, Inc., has a target debt-equity ratio of .45. Its WACC is 9.8 percent, and the tax rate is 35 percent. If instead you know

Kose, Inc., has a target debt-equity ratio of .45. Its WACC is 9.8 percent, and the tax rate is 35 percent.

If instead you know that the aftertax cost of debt is 5.9 percent, what is the cost of equity?

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