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QUESTION
Let Timco use a capital structure that is 40% debt and 60% equity, The firm can borrow at 6%. The tax rate is 40%. Timco is planning on paying...
Let Timco use a capital structure that is 40% debt and 60% equity, The firm can borrow at 6%. The tax rate is 40%. Timco is planning on paying dividend of 3 to maintain our 5% growth. The current stock price is 16.13. Find the WACC.
