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Suppose Visa Inc.(V) has no debt and an equity cost of capital of 9.5%. The averagedebt-to-value ratio for the credit services industry is 13.2%. What
Suppose Visa Inc.(V) has no debt and an equity cost of capital of 9.5%. The averagedebt-to-value ratio for the credit services industry is 13.2%. What would its cost of equity be if it took on the average amount of debt for its industry at a cost of debt of 6.1%?
The cost of equity is %. (Round to two decimalplaces.)
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