Question
Organii-tech Inc. is financed 60% with equity and 40% with debt. Currently, its debt has a before-tax interest rate of 10%. Organii-tech's common stock trades
Organii-tech Inc. is financed 60% with equity and 40% with debt. Currently, its debt has a before-tax interest rate of 10%. Organii-tech's common stock trades at $15 per share and its most recent dividend was $1.00. Future dividends are expected grow by 4%. If the tax rate is 37%, what is Organii-tech's WACC?
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