(Answered) Following information for golden fleece financiallong-term

Finance

Following information for Golden Fleece Financial:

Long-term debt outstanding:	$	500,000
Current yield to maturity (r_debt):		8	%
Number of shares of common stock:		20,000
Price per share:	$	51
Book value per share:	$	45
Expected rate of return on stock (r_equity):		15	%

a. Calculate Golden Fleece's company cost of capital. Ignore taxes

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