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Verano Inc. has two business divisions a software product line and a waste water cleanminus up product line. The software business has a cost of equity capital of? 12% and the waste water cleanminus up business has a cost of equity capital of? 8%. Verano has? 50% of its revenue from software and the rest from the waste water business. Verano is considering a purchase of another company in the waste water business using equity financing. What is the appropriate cost of capital to evaluate the? business?

Business Economics, Economics

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