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price of the stock is $15.00 per share, the flotation cost for selling new shares is F = 10%, and the target capital structure is
price of the stock is $15.00 per share, the flotation cost for selling new shares is F = 10%, and the target capital structure is 45% debt and 55% common equity. What is the firm's WACC, assuming it must issue new stock to finance its capital budget? 4. Hindelang Inc. is considering a project that has the following cash flow and WACC data. WACC: 12.25% Year 0 1 2 3 Cash flows -$850 $320 $340 $360 $380 Compute the following: a) The project's payback period b) NPV c) IRR d) MIRR e) Should the project be accepted? Evaluate under each criterion. DII F8 OOO 000 F10 FO 11 F7
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