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Cost of the plant including flotation costs-leonardo co

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Leonardo Co. has a debt to equity ratio of 0.65. The company is considering a new plant that will cost $250 million to build. When the company issues new equity, it incurs a flotation cost of 7%. The flotation cost on new debt is 3%.

Calculate the cost of the plant including flotation costs. (Round to 2 decimals)

Reference no: EM132700847

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