What is the company WACC

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Question - Helms Aircraft has a capital structure that consists of 60% debt and 40% common stock. The firm will be able to use retained earnings to fund the equity portion of its capital budget. The company recently issued bonds with a yield to maturity of 9%. The risk-free rate is 6%, the market risk premium is 6%, and Helms' beta is equal to 1.5. If the company's tax rate is 35%, what is the company's WACC?

Reference no: EM133123467

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