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PLEASE SHOW WORKING AND FORMULA STEP BY STEP. DO NOT USEEXCELBlitz Industries has a debt-equity ratio of .6. Its WACC is 9.2percent, and its cost of debt is 6.5 percent. The corporate taxrate is 23 percent. a.What is the company’s cost of equity capital?b.What is the company’s unlevered cost of equity capital?c-1.What would the cost of equity be if the debt-equity ratio were2?c-2.What would the cost of equity be if the debt-equity ratio were1.0? (c-3.What would the cost of equity be if the debt-equity ratio werezero?
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