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Dakota Drilling Inc.(DD) has a new project that will require the company to borrow $5,000,000.MM has made an agreement with three lenders for the needed financing.First National Bank will give $1,000,000 and wants 6% interest on the loan.Texas Bank will give $3,000,000 and wants 7% interest on the loan.Chase Bank will give $1,000,000 and wants 8% interest on the loan.What is the weighted average cost of capital for this $5,000,000?
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