She-Hulk Inc. is a publicly listed law firm. Its balance sheets show that the company has a
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She-Hulk Inc. is a publicly listed law firm. Its balance sheets show that the company has a bank loan of 17,000,000 dollars with an interest rate of 13%. The company's market value of equity is 28,000,000 dollars. She-Hulk's 5-year CAPM beta is 1.26. The market return is 8% per annum. The U.S.'s risk-free rate is 3% per annum. She-Hulk Inc. has a corporate tax rate of 23% per annum. Find She-Hulk Inc's weighted average cost of capital (WACC).
Related Book For
Intermediate Accounting Volume 2
ISBN: 9781119497042
12th Canadian Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Irene M. Wiecek, Bruce J. McConomy
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