=+1. Calculate the weighted average cost of capital given the following information: Optimal capital structure 50:50 Debt
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=+1. Calculate the weighted average cost of capital given the following information:
Optimal capital structure 50:50 Debt funding: half is at 10% interest, half at 12%
Effective tax rate 30%
Risk-free rate 8%
Return expected in the stock market 12%
Company’s beta 1.2.
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Related Book For
Strategic Management Awareness And Change
ISBN: 9781844800834
5th Edition
Authors: John L. Thompson , Frank Martin
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