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Victory Inc. is currently 100% equity-financed. Its beta is 1.1 and its tax rate is 35%. Risk-free rate is 8% and market risk premium is

Victory Inc. is currently 100% equity-financed. Its beta is 1.1 and its tax rate is 35%. Risk-free rate is 8% and market risk premium is 7%. Calculate the cost of equity if the company has 30% debt and 70% equity.

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