Question: 2. WACC. Grey's Pharmaceuticals has a new project that will require funding of $4 million. The company has decided to pursue an alldebt scenario- Grey's

2. WACC. Grey's Pharmaceuticals has a new project that will require

funding of $4 million. The company has decided to pursue an alldebt

2. WACC. Grey's Pharmaceuticals has a new project that will require funding of $4 million. The company has decided to pursue an alldebt scenario- Grey's has made an agreement with four lenders for the needed nancing. These lenders will advance the following amounts and interest rates: Lender Amount Interest Rate Stevens $1 ,500,000 1 1% $1,200,000 9% Shepherd $1,000,000 7% Bailey '5 300,000 8% What is the weighted average cost of capital for the $4,000,000

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