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March 30, 2015

Homework Help: Finance

Posted by Sarah on Monday, April 9, 2012 at 2:48pm.

Jungle, Inc. has a target debt-equity ratio of 0.72. Its WACC is 11.5 percent and the tax rate is 34 percent. What is the cost of equity if the aftertax cost of debt is 5.5 percent?

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