In order to fund its flagship project, Rozan Industries issued 250000 KD worth of debt...
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Accounting
In order to fund its flagship project, Rozan Industries issued 250000 KD worth of debt and 550000 KD worth of shares. The yield to maturity on bonds is equal to 7% and the required rate of return on shares is equal to 8.6%. The corporate tax rate is equal to 15%. Calculate the WACC of this project. Note: Show your steps in the reasons box
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