Question: 2 7 . For Previts & Co . , calculate its cost of operating capital, roer, the value of its NFL , VNFL , including

27. For Previts & Co., calculate its cost of operating capital, roer, the value of its NFL, VNFL, including the value of the interest tax shield, VITS, is $2,000,000 with a cost of debt capital, rD, of 7.50%. The value of Previte's equity, VEq, is $3,000,000 with a cost of equity capital, rEq of 13.50%

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