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Question
Calculate the after-tax WACC based on the following information: nominal interest rate on debt = 12%; cost of common equity = 25%; common equity = $700,000; interest-bearing debt = $300,000; and tax rate = 25%.
a. 15.0%
b. 16.4%
c. 20.2%
d. 22.8%
Answer
This answer is hidden. It contains 1 characters.
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