6. A stock has just paid $6 of dividend. The dividend is expected to grow...
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6. A stock has just paid $6 of dividend. The dividend is expected to grow at a constant rate of 6% a year, and the common stock currently sells for $41. The beforetak cost of debt is 6%, and the tax rate is 40%. The target capital structure consists of 29% debt and 71% common equity. What is the company's WACC if all the equity used is from retained earnings? 16.32% 17.79% 17.63% 14.85% 15.8895 Question 7 1 pts
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