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The Two Dollar Store has a cost of equity of 1 0 . 8 percent, the YTM on the company's bonds is 5 . 4

The Two Dollar Store has a cost of equity of 10.8 percent, the YTM on the company's bonds is 5.4 percent, and the tax rate is 21 percent. If the company's debt-equity ratio is.43, what is the weighted average cost of capital?
5.70%
8.12%
7.44%
9.18%
8.84%

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