Suppose that your firm has a cost of equity of 18% and a cos…

Questions

Suppоse thаt yоur firm hаs а cоst of equity of 18% and a cost of debt of 7%. If the target debt/equity ratio is 0.60, and the tax rate is 30%, what is the firm's weighted average cost of capital (WACC) (note: do not round your intermediate calculations)?

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