Percys wholesale supply has earnings before interest and, Financial Management

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Percys wholesale supply has earnings before interest and

Percy's Wholesale Supply has earnings before interest and taxes of $121,000. Both the book and the market value of debt is $190,000. The unlevered cost of equity is 14.7 percent while the pretax cost of debt is 8.6 percent. The tax rate is 35 percent. What is the firm's weighted average cost of capital?

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Financial Management: Percys wholesale supply has earnings before interest and

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