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Business, 14.06.2021 22:10 princeofpowerjr

ABC Corp. has a market capitalization of $300 million and a beta of 0.75. It has $75 million in outstanding debt and its debt beta is 0.20. The risk-free rate is 3% and the market risk-premium is 5%. Required:
Calculate ABCâs unlevered cost of capital.

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