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Westworld Industries has an expected EBIT of $1,000,000, a cost of equity of 12% and a cost of debt of 7%. Westworld s debt-to-equity ratio

Westworld Industries has an expected EBIT of $1,000,000, a cost of equity of 12% and a cost of debt of 7%. Westworld s debt-to-equity ratio is 0.4. The corporate tax rate is 20%. What is the appropriate discount rate if you are using the WACC method to value Westworld?

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