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You are evaluating building a luxury vacation rental property on Lake Norman as an investment project for your company, Seize Your Dream, Inc. You estimate

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You are evaluating building a luxury vacation rental property on Lake Norman as an investment project for your company, Seize Your Dream, Inc. You estimate $1,350,000 in upfront construction costs including the cost of the land, and net monthly rental free cashflow of $8,359 for 10 years, after subtracting monthly property taxes and maintenance expenses. Based on your analysis of property values in the area, you expect to sell the property at the end of the 10th year for $ 1,907,023. You plan to sell equity shares and issue 10 year bonds to finance the $1,350,000 construction cost of the project. You will maintain your current capital structure of 72% debt and 28% equity. If your after-tax cost of debt is 7.38% and your cost of issuing common equity is 13.33%, what is your WACC? Enter your answer in decimals, to 4 places, with no % sign. Ex: XXXX

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