Question: Let Timco use a capital structure that is 60% debt and 40% equity, The firm can borrow at 6%. The tax rate is 40%. Let

Let Timco use a capital structure that is 60% debt and 40% equity, The firm can borrow at 6%. The tax rate is 40%. Let the firm beta be 1.8, the market return 14%, and the risk free rate 2%. What is the WACC?

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