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The Donald Grump Corporation, a publicly traded REIT, has expected total return to equity of 13%, average interest rate on its debt of 7.5%, and

  1. The Donald Grump Corporation, a publicly traded REIT, has expected total return to equity of 13%, average interest rate on its debt of 7.5%, and a debt/total asset value ratio of 40%.
  1. What is Grumps equity average cost of capital? 12 points.
  2. What is Grumps firm-level overall average cost of capital? 12 points.

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