At the end of 2q2018 tesla inc had 3.9 billion in common equity 11.6 billion...
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At the end of 2q2018 tesla inc had 3.9 billion in common equity 11.6 billion in debt and no preferred equity. Tesla inc. had an estimated WACC of 7.55%, an estimated effective rate on debt of 5.85%, and you may assume a taz rate of 21%. Imagine that the board of directors had replaced CEO Elon Musk with you. How much return do your TSLA equity investors expect?
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