What is morningside corporate cost of capital

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Reference no: EM131581714

Morningside Nursing Home, a not-for-profit corporation, is estimating its corporate cost of capital. Its tax-exempt debt currently requires an interest rate of 6.2 percent, and its target capital structure calls for 60 percent debt financing and 40 percent equity (fund capita) financing. Its estimated cost of equity is 16.4 percent. What is Morningside's corporate cost of capital?

Reference no: EM131581714

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What is morningside corporate cost of capital : Morningside Nursing Home, a not-for-profit corporation, is estimating its corporate cost of capital. What is Morningside's corporate cost of capital?

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