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What is the cost of equity-sunrise auto

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Sunrise Auto has an unlevered cost of capital of 11.9 percent, a total tax rate of 27 percent , and expected earnings before interest and taxes of $ 31,730. The company has $ 65,000 in bonds outstanding that sell at par and have a coupon rate of 7.2 percent. What is the cost of equity?

Reference no: EM132467077

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