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Suppose that TapDance, Incorporateds capital structure features 60 percent equity, 40 percent debt, and that its before-tax cost of debt is 6 percent, while its
Suppose that TapDance, Incorporateds capital structure features 60 percent equity, 40 percent debt, and that its before-tax cost of debt is 6 percent, while its cost of equity is 11 percent. The appropriate weighted average tax rate is 21 percent.
What will be TapDances WACC?
Note: Round your answer to 2 decimal places.
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