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Suppose that initially, company Bloomsbury has tA=10%,rE=15%,DD=15%,D={50M, E= E20 M. Its manager decides to implement a leverage recapitalization: she will issue debt and use all

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Suppose that initially, company Bloomsbury has tA=10%,rE=15%,DD=15%,D={50M, E= E20 M. Its manager decides to implement a leverage recapitalization: she will issue debt and use all proceeds to buy back debt: You live in a perfect capital markets world without tares. Answer the only single correct statement: Select one: a. There is enough information to know how much rA,rO and rE will be once the leverage recapitalization is completed There is enough information to know how much rA, and rC will be once the leverage recapitalization is compleced. Whe the amount of information given, we cannot know how much rA and r0 will be once the leverage recapitalization is completed. There is enough information to know how much rA will be once the leverage recapitalization is completed. Suppose that initially, company Bloomsbury has tA=10%,rE=15%,DD=15%,D={50M, E= E20 M. Its manager decides to implement a leverage recapitalization: she will issue debt and use all proceeds to buy back debt: You live in a perfect capital markets world without tares. Answer the only single correct statement: Select one: a. There is enough information to know how much rA,rO and rE will be once the leverage recapitalization is completed There is enough information to know how much rA, and rC will be once the leverage recapitalization is compleced. Whe the amount of information given, we cannot know how much rA and r0 will be once the leverage recapitalization is completed. There is enough information to know how much rA will be once the leverage recapitalization is completed

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