[Solved] The resources of business abc and the aft

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The resources of business abc and the after-tax cost of the three resources are as follows source amount after tax cost bank credit 1500 0.24

The resources of business abc and the after-tax cost of the three resources are as follows

source amount after tax cost

bank credit 1500 0.24

retained earnings 500 0.25

stock shares 2000 0.26

bond 1000 ?

note:bonds have an annual interest rate of 0.20

Calculate the weighted average cost of capital of firm abc?

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