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****Please note numbers are different from similar question***** 4. Compute the WACC of a hypothetical firm, if you know the return in the market, the
****Please note numbers are different from similar question*****
4. Compute the WACC of a hypothetical firm, if you know the return in the market, the risk free rate, the cost of debt and unlevered bheta are .12, .02.08 and 1, and the weights of debt and equity are 40% and 60%, respectively domestically. In the foreign nation, respective values are .14.04.1, 1.3, 70% and 30%. Furthermore, the weights of debt of the foreign project is 5 and the weight of equity is 50%.Additionally, the % of debt borrowed from the US is 20 % of a total weight and 30% from the foreign country Step by Step Solution
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