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Verano Inc. has two business divisionsa software product line and a waste water cleanup product line. The software business has a cost of equity capital

Verano Inc. has two business divisionsa software product line and a waste water cleanup product line. The software business has a cost of equity capital of % and the waste water cleanup business has a cost of equity capital of %. Verano has50% of its revenue from software and the rest from the waste water business. Verano is considering a purchase of another company in the waste water business using equity financing. What is the appropriate cost of capital to evaluate the business?

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