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XYZ Corp has a market capitalization of $375 million, a market value of debt of $79 million and no excess cash. You estimate that the
XYZ Corp has a market capitalization of $375 million, a market value of debt of $79 million and no excess cash. You estimate that the cost of equity for this firm is 9.9% and its cost of debt is 4.5%. Calculate the unlevered cost of capital for XYZ. Express your answer in percent and round to two digits (do not include the %-symbol in your answer)
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