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The following information applies to the next six problems. PMG has a Capital Structure of 30% Debt and 70% Equity, and has provided you with

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The following information applies to the next six problems. PMG has a Capital Structure of 30% Debt and 70% Equity, and has provided you with the following information: YTM (rd) Risk Free Rate Market Risk Premium Cost Of Equity, ts(current) WACC Tax Rate EPS(current) 10% 5% 6% 12.2% 10.34% 40% $4 44 13. What would be the Company's new cost of equity? a) 13.02% b) 12.14% O c) 14.12% O d) 11.12% e. None of the above 14. What would be the Company's new WACC at debt ratio 40%? a) 10.45% Ob) 10.09% C) 10.12% O d) 10.21% None of the above 13. What would be the Company's new cost of equity? a) 13.02% b) 12.14% O c) 14.12% O ) d) 11.12% e. None of the above 14. What would be the Company's new WACC at debt ratio 40%? a) 10.45% b) 10.09% C) 10.12% d) 10.21% e None of the above The following information applies to the next six problems. PMG has a Capital Structure of 30% Debt and 70% Equity, and has provided you with the following information: YTM (rd) Risk Free Rate Market Risk Premium Cost Of Equity, ts(current) WACC Tax Rate EPS(current) 10% 5% 6% 12.2% 10.34% 40% $4 44 13. What would be the Company's new cost of equity? a) 13.02% b) 12.14% O c) 14.12% O d) 11.12% e. None of the above 14. What would be the Company's new WACC at debt ratio 40%? a) 10.45% Ob) 10.09% C) 10.12% O d) 10.21% None of the above 13. What would be the Company's new cost of equity? a) 13.02% b) 12.14% O c) 14.12% O ) d) 11.12% e. None of the above 14. What would be the Company's new WACC at debt ratio 40%? a) 10.45% b) 10.09% C) 10.12% d) 10.21% e None of the above

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