Company capital structure-molineux corp

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Molineux corp. has market value of equity at $20 billion, and its debt book value is $4 billion. Its cost of equity is 12%, and pretax cost of debt of 7%. Its tax rate is 35%.

a) What's the company's capital structure?

b) What's the after tax cost of debt?

c) What's the company's WACC?

Reference no: EM132509174

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