Company weighted average cost of capital

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A company has a beta of 2.7, pre-tax cost of debt of 4.0% and an effective corporate tax rate of 34%. 15% of its capital structure is debt and the rest is equity. The current risk-free rate is 0.9% and the expected market risk premium is 5.3%. What is this company's weighted average cost of capital? Answer in percent, rounded to two decimal places.

Reference no: EM132499550

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