a. Determine the weighted cost of capital for the bongbong Company that will finance its...
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Accounting
a. Determine the weighted cost of capital for the bongbong Company that will finance its optimal capital budget with P120 million of long-term debt (kd = 12.5%) and P180 million in retained earnings (ke = 16.0%). Mills' present capital structure is considered optimal. The company's marginal tax rate is 40%. (Compute answer to nearest 0.1%.)
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