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Find axle weighted average cost of capital

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Question: Axle Co.'s shareholders require a 22.5 percent return and Axle's bondholders require a 14 percent return. Based on a 33.33 percent of the debt/total asset ratio and a 46 percent tax rate, find Axle's weighted average cost of capital. Hint: use WACC formula.

Reference no: EM131547729

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