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Suppose Microsoft has no debt and a WACC of 9.1%. The average debt-to-value ratio for the software industry is 8.5%. What would be its cost

Suppose Microsoft has no debt and a WACC of

9.1%.

The average debt-to-value ratio for the software industry is

8.5%.

What would be its cost of equity if it took on the average amount of debt for its industry at a cost of debt of

5.9%?

The cost of equity is

nothing%.

(Round to two decimal places.)

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