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Suppose the following information pertains to a particular firm: Long Term Debt = 50 Short Term Debt = 15 Accounts Payable = 10 CommonEquity =

Suppose the following information pertains to a particular firm:

  • Long Term Debt = 50
  • Short Term Debt = 15
  • Accounts Payable = 10
  • CommonEquity = 40
  • Stock Price = $2
  • Shares Outstanding = 15

For the purposes of calculating the WACC, the Weight of Debt = ?

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