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Suppose a firm is using debt of Rs. 500,000 at a cost of 18%; equity of Rs. 700,000 at cost of 20% and preferred shares
Suppose a firm is using debt of Rs. 500,000 at a cost of 18%; equity of Rs. 700,000 at cost of 20% and preferred shares of Rs. 300,000 at cost of 22% in its capital structure; what will be after tax Weighted Average Cost of Capital (WACC) if corporate tax rate is 35%?.
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