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The Buccaneer Company was recently formed to manufacture a new product, It has the following capital structure 9% Debentures of2002 ($1000 Par) 7% Preferred stock

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The Buccaneer Company was recently formed to manufacture a new product, It has the following capital structure 9% Debentures of2002 ($1000 Par) 7% Preferred stock ($100 Par) Common stock (320,000 shs.) S8.000.000 2.000.000 092.999 $16,000,000 Total The company's published beta is 20, the return on the market portfolio is 10% and the risk-free rate is 5% Assume a marginal tax rate of 40% (Show all work) Compute the weighted-average cost of capital

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