What is the cost of equity for whispering pines resort

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James Bay Water Park operates in a world with zero taxes and no ?nancial distress. The ?rm has a dehtr'eouit'yr ratio of 1. The cost of equity is 15% and the cost of debt is 8%. The only difference between Whispering Pines Resort and James Bay Water Park is that Whispering Pines Resort has a debtfequity ratio of 3. What is the cost of equity for Whispering Pines Resort?

Reference no: EM133110173

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