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Quick Venture Angel (QVA) Company has the following amounts of interest-bearing debt and common equity capital. Assume it is in the 30% average tax bracket

Quick Venture Angel (QVA) Company has the following amounts of interest-bearing debt and common equity capital. Assume it is in the 30% average tax bracket. Calculate the after-tax WACC (20 points)

Financing Source Amount Interest Rate

Short-Term Loan $200,000 6%

Long-Term Loan $200,000 14%

Equity Capital $600,000 22%

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