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Suppose a firm has a capital structure of 25% debt and no preferred stock. Suppose the tax rate is 20%, the YTM on the company's

Suppose a firm has a capital structure of 25% debt and no preferred stock. Suppose the tax rate is 20%, the YTM on the company's bonds is 6%, and the cost of common equity is 13%. Calculate the firm's WACC.

Question 25 options:

	12.35%
	7.17%
	6.85%
	10.95%

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