Question: Evans Technology has the following capital structure. Debt.......................... 30% Common equity....... 70 The aftertax cost of debt is 6 percent; and the cost of common

Evans Technology has the following capital structure.

Debt.......................... 30%

Common equity....... 70

The aftertax cost of debt is 6 percent; and the cost of common equity (in the form of retained earnings) is 11 percent.

What is the firms weighted average cost of capital?

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