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Repost from previous question (CFO) of A Company is interested to identify the cost of capital and value of the company. Currently, the company A

Repost from previous question

(CFO) of A Company is interested to identify the cost of capital and value of the company. Currently, the company A is an all-equity company. Earnings before interest and taxes (EBIT) for the company is expected to be $84,893 forever, and the cost of capital is currently 15.25 percent. The corporate tax rate applicable to this company is 31.7 percent.

Requirement-. Calculate the weighted average cost of capital.

Requirement-. What are the implications for capital structure?

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