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Business, 13.08.2019 00:30 astultz309459

Pearson motors has a target capital structure of 35% debt and 65% common equity, with no preferred stock. the yield to maturity on the company's outstanding bonds is 11%, and its tax rate is 40%. pearson's cfo estimates that the company's wacc is 12.90%. what is pearson's cost of common equity? do not round intermediate calculations. round your answer to two decimal places. 16.29 %

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