A company is 70% financed by risk-free debt. The interest rate on the risk-free debt...

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Finance

A company is 70% financed by risk-free debt. The interest rate on the risk-free debt is 10%, the expected market risk premium is 8%, and the beta of the companys common stock is 0.3. What is the WACC and after-tax WACC, assuming that the company pays tax at a 30% rate

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