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Calculate the weighted-average cost of capital

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Question: Gamma Corporation has an optimal debt to equity ratio of 65 percent. Its cost of equity capital is 13 percent and its before-tax borrowing rate is 6 percent. Given a marginal tax rate of 36 percent, calculate the weighted-average cost of capital? The response must be typed, double spaced, times new roman, font size 12 and must follow APA format.

Reference no: EM132761421

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