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Palencia Paints Corporation has a target capital structure of 4 0 % debt and 6 0 % common equity, with no preferred stock. Its before
Palencia Paints Corporation has a target capital structure of debt and common equity, with no preferred stock. Its beforetax cost of debt is and its marginal tax rate is The current price is $ The last dividend was $ and it is expected to grow at a constant rate. What is its cost of common equity and its WACC? Do not round intermediate calculations. Round answers to two decimal places.
WACC
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