Mullineaux Corporation has a target capital structure of 55 per cent equity and 45 per cent debt.

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Mullineaux Corporation has a target capital structure of 55 per cent equity and 45 per cent debt. Its cost of equity is 16 per cent, and the cost of debt is 9 per cent.

The relevant tax rate is 35 per cent. What is Mullineaux’s WACC?

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Corporate Finance

ISBN: 9780077173630

3rd Edition

Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe

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