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XYZ Company has a target capital structure of 38% debt, 18% preferred stock, and 44% common equity. If the firm needs to raise $20 million
XYZ Company has a target capital structure of 38% debt, 18% preferred stock, and 44% common equity. If the firm needs to raise $20 million in new financing and they have $4 million available from internal equity, how much will they need to raise from new common stock (external equity)?
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