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Unida Systems has 44 million shares outstanding trading for $8 per share. In? addition, Unida has $81 million in outstanding debt. Suppose? Unida's equity cost
Unida Systems has 44 million shares outstanding trading for $8 per share. In? addition, Unida has $81 million in outstanding debt. Suppose? Unida's equity cost of capital is 18%?, its debt cost of capital is 7%?, and the corporate tax rate is 39%. a. What is? Unida's unlevered cost of? capital? b. What is? Unida's after-tax debt cost of? capital? c. What is? Unida's weighted average cost of? capital?
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