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Shaw Ltd plans to maintain its optimal capital structure of 40% debt, 10% preference shares and 50% ordinary shares into the future. The cost of
Shaw Ltd plans to maintain its optimal capital structure of 40% debt, 10% preference shares and 50% ordinary shares into the future. The cost of each component is: after -tax debt, 5%; preference shares, 10%; ordinary shares, 15%. Calculate the WACC for Shaw Ltd.
Question 26 options:
11.0%
10.0%
10.5%
11.5%
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