Question pabloss store has two loans one for 125000 at 8, Ask an Expert

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Question: Pablos's store has two loans, one for $125,000 at 8% and the other is $300,000 at 8.5%. His equity investor put in $500,000 and expects a 12% return. His tax rate is 35%.

What is his weighted average cost of debt?

What is his weighted average cost of capital?

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M92765276

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