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Suppose Alcatel-Lucent has an equity cost of capital of 9.4%. market capitalization of $10.35 billion, and an enterprise value of $15 billion. $4 uppose Alcatei-Lucents

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Suppose Alcatel-Lucent has an equity cost of capital of 9.4%. market capitalization of $10.35 billion, and an enterprise value of $15 billion. $4 uppose Alcatei-Lucents debt cost of capial is 7% and its marginal tax rate is 34%. a. What is Alcatel-Lucenfs WACC? b. If Alcatel-Lucent maintains a corstant debt-equity ratio, what is the value of a project with average risk and the oxpected froe cash flows as shown here. c. If Alcatel-Lucent maintains its debt-equity ratio, what is the dobt capacify of the projoct in part (b)? a. What is Alcatel.Lucenfs Wacc? Alcatel-Lucents WACC is K. (Round to two docimal places.) Data table (Click on the following icon in order to copy its contents into a spreadsheet.)

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