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show steps please 4) (2 points) The Beehive's WACC is 6.5 percent. The required return on the firm's common equity is 7.5 percent, and they
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4) (2 points) The Beehive's WACC is 6.5 percent. The required return on the firm's common equity is 7.5 percent, and they have annual bonds outstanding with a coupon rate of 4 percent and a yield to maturity of 5 percent. The tax rate is 26 percent. There is no preferred equity. What is the capital structure weight of common equity? Round your answer to four decimal places. Hint: use two equations with two unknowns to solve. Recall that the weights must add to one Step by Step Solution
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