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Sally Limited has a debt of Kshs.12 million and cquity of Kshs.18 million the cost of debt is 8 percent and the cost of equity
Sally Limited has a debt of Kshs.12 million and cquity of Kshs.18 million the cost of debt is 8 percent and the cost of equity is 13 percent the corporate tax rate is 30 percent Required What is the firm's weighted average cost of capital? (4 marks) The Jungle Wear Company has expected carnings before interest and taxes of Ksh2,000,000, an unlevered cost of equity of 14% and a tax rate of 30%. The company 6% also has Kshs.?,000,000 of debt that carries a 6% coupon. The yield to maturity is also Y34 So Reauired What is the value of the firm in an MM world 6 marks)
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