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The following data apply to the Blaine's finances . . . . Debt to (Debt Equity) ratio: 75% Equity beta: 1.9 Credit risk premium: 2.75%

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The following data apply to the Blaine's finances . . . . Debt to (Debt Equity) ratio: 75% Equity beta: 1.9 Credit risk premium: 2.75% Share price: 11.50 The risk-free rate of interest is 0.5% per annum The equity market rate of return is 2.8% The corporate tax rate levied on profits is 17% Question 1 Estimate the weighted Average Cost of Capital (WACC) for Blaine

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