Cosmo has a weighted average cost of capital of 6.00%. Estimate Cosmo's cost of equity...
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Cosmo has a weighted average cost of capital of 6.00%. Estimate Cosmo's cost of equity given the following information: The firm's effective tax rate is 25%, they have an equal mix of debt and equity, the required return on the market portfolio is 9%. Cosmo has a before-tax cost of debt of 6%, and the risk-free rate of return is 3%. O 7.80% O 6,90% 0 7.50% 0 72096
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