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corie corie
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7 years ago
Suppose a firm's stock valuation is worth three times its outstanding debt.  The firm's stock earns an annual return of 6 percent and pays 8 percent on the outstanding debt.  What is the firm's company cost of capital?
A) 4.5 percent
B) 6 percent
C) 6.5 percent
D) 8 percent
Textbook 
Microeconomics

Microeconomics


Edition: 8th
Author:
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oracledarrenoracledarren
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#1
Posts: 455
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7 years ago
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corie Author
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7 years ago
Thanks for your help!!
dearsophia21
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Yesterday
This site is awesome
rene_ram97
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2 hours ago
Helped a lot
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