Based on the answers of the previous questions related to the cost of each source...

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Finance

Based on the answers of the previous questions related to the cost of each source of capital and the below data related to the optimal capital structure

Source of capital

Target Market proportions

Long term debt

20%

Preferred stock

10%

Common stock equity

70%

Total

100%

Calculate The weighted average cost of capital up to the point when retained earnings are exhausted

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