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please show work 2. A firm has a market value of assets of $50,000. It borrows $10,000 at 5%. If the unlevered cost of equity

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2. A firm has a market value of assets of $50,000. It borrows $10,000 at 5%. If the unlevered cost of equity is 15%, what is the firm's cost of equity capital according to MM? A) 17.5% B) 18.5% C) 19.2% D) 20.6%

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