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Your company has a debt-equity ratio of 0.8. Its WACC is 11%, and its cost of debt is 5%. The corporate tax rate is 35%.
Your company has a debt-equity ratio of 0.8. Its WACC is 11%, and its cost of debt is 5%. The corporate tax rate is 35%. What is (1) your company's cost of equity capital, and (2) unlevered cost of equity capital?
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