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Determine the weighted average cost of capital

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Question - Minden Co. Had $500,000 Of Equity Share Capital, On Which The Return Was 16%, And $1,500,000 Of Debt, On Which The Interest rate was 10%. The tax rate was 40%. Determine the weighted average cost of capital?

a) 15.6%

b) 13%

c) 12%

d) 8.5%

e) none of the above

Reference no: EM133089907

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