A firm currently has a debt-equity ratio of 1. The debt, which is virtually riskless,...
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Accounting
A firm currently has a debt-equity ratio of 1. The debt, which is virtually riskless, pays an interest rate of 8 %. The expected rate of return on the equity is 12 %. What is the Weighted-Average Cost of Capital if the firm pays no taxes? Enter your answer as a percentage rounded to two decimal places. Do not include the percentage sign in your answer
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