The common stock of buildwell conservation amp construction, Ask an Expert

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The common stock of Buildwell Conservation & Construction, Inc. (BCCI), has a beta of 0.89. The Treasury bill rate is 2 percent and the market risk premium is estimated at 5 percent. BCCI's capital structure is 18 percent debt paying a 5 percent interest rate, and 82 percent equity. What is BCCI's cost of equity capital and its WACC? Buildwell's tax rate is 35 percent.

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Financial Management, Finance

Category:- Financial Management
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