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Suppose Cowles Corp.'s market value of debt is $7,000,000 and it has 1,500,000 shares selling at $8 per share. What is the WACC if the

image text in transcribedimage text in transcribed Suppose Cowles Corp.'s market value of debt is $7,000,000 and it has 1,500,000 shares selling at $8 per share. What is the WACC if the cost of debt is 9.1% and the expected rate of return on the stock is 17.7%, given the marginal tax rate is 21% ? What is the opportunity cost of capital? (WACC, opportunity cost of capital) 13.83% 14.12% 13.36% 12.87% 14.53%

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