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tax rate = 21% Adjusted Present Value Let's go back to our original example. We used a levered cost of equity of 11.343%. This was
tax rate = 21%
Adjusted Present Value Let's go back to our original example. We used a levered cost of equity of 11.343%. This was based on a levered beta of 1.2633, risk free rate of 2.5% and a market risk premium of 7% and a D/V ratio of 25%. What is our unlevered beta? What is our unlevered cost of equityStep by Step Solution
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