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+ Westdesconeconextel browserunt 253A Tube Mass Home Vancouver Summer 2020 Kortinger's kamp Supplies is considering an investment in new manufacturing equipment. The equipment costs $220,000
+ Westdesconeconextel browserunt 253A Tube Mass Home Vancouver Summer 2020 Kortinger's kamp Supplies is considering an investment in new manufacturing equipment. The equipment costs $220,000 and will provide annual after tax inflows of $50.000 at the end of each of the next seven years. The firm's market value debt equity ratio is 25%, its cost of equity is 14. and its pre-tax cost of debt is 7 The flotation costs of debt and equity are 36 and 95, respectively. The firm's combined marginal federal and provincial tax rate is 40%. Assume the project is of approximately the same tik as the firm's existing operations What is the weighted average rotation cost for Kortingers? Next >
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