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w score 10.3070,2 0f 13 pts XP15-13 (similar to) Question Help NatNah, a builder of acoustic accessories, has no debt and an equity cost of

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w score 10.3070,2 0f 13 pts XP15-13 (similar to) Question Help NatNah, a builder of acoustic accessories, has no debt and an equity cost of capital of 14%. Suppose N Nah decides to increase its leverage and maintain a market debt-to-value ratio of 04. Suppose its debe cost of capital is 6% and its corporate tax rate is 21%. Nataly's pretax WACC remains constant, what wil its effective after-tax) WACC be with the increase in loverage? Mint While the pretex WACC remains the same, the equity cost of capital increases when lower cost debitis added to the capital structure. However, you will not need to recalculate the equity cost of capital since the overall prefax WAC I assumed to remain contant even after the addition of debt.) The effective after-tax WACC wil be % (Round to two decimal places)

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