What is the cost of equity if you ignore taxes

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Question

Winter's Toyland has a debt-equity ratio of 2.00. The cost of debt is 10 percent and the required return on assets is 19 percent.

What is the cost of equity if you ignore taxes? Write your answer as a percent rounded to two digits, but don't include the % sign (i.e. write 12.63, not 0.1263).

Reference no: EM132058624

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