The expected return on the market portfolio

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Reference no: EM131868114

Never-crash Airline has a capital structure that consists of 25% debt and 75% equity. The company’s cost of debt is 8%. The company has a beta of 1.9. The risk free rate equals 5% and the expected return on the market portfolio is 13%. What is Never-crash Airline’s WACC, if their marginal tax rate equals 30%?

Reference no: EM131868114

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