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Suppose Corporation A has a book (face) debt value of $10M, trading at 85% of face value. It also has book equity of $16 million,

Suppose Corporation A has a book (face) debt value of $10M, trading at 85% of face value. It also has book equity of $16 million, and 1.78 million shares of common stock trading at $29 per share. What is the weight for debt that Corporation A should use in calculating its WACC?

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