Question: 5 5 5 CasaSi Inc., is considering a scale - enhancing project. The market value of the firm s debt is $ 3 0 0
CasaSi Inc., is considering a scaleenhancing project. The market value of the firms debt is $ million and the market value of the firms equity is $ million. The debt is considered riskfree. The corporate tax rate is Regression analysis indicates that the beta of the firms equity is The riskfree rate is and the market risk premium is
What would the projects discount rate be in the hypothetical case that CasaSi Inc., is all equity?
Do not enter the symbol; use two decimals. For example, if you obtain then enter ; if you obtain then enter
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