Firm unlevered cost of equity capital

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Easy-Tea Corp. has a debt-equity ratio of 1.4. Its WACC is 10%, and its cost of debt is 9%. The corporate tax rate is 330%. What is the firm's unlevered cost of equity capital?

When answering this problem enter your answer using percentage notation but do not use the % symbol and use two decimals (rounding). For example, if your answer is 0.10469 then enter 10.47; if your answer is 10% then enter 10.00

Reference no: EM132345645

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